Will I be charged a fine if my insurance lapsed and I was involved in an accident?
Life keeps us busy and sometimes that causes us to overlook important things that could harm us in the long run. Take insurance for instance. Many policy premiums run on a six-month timespan requiring you to pay a certain amount each month. But when your policy runs its course and it is time to renew, what happens if you forget to do so? How can this affect you in the event you are involved in an auto accident?
Because Iowa does require that its drivers carry minimum insurance limits, if your policy lapses for any reason and you aren’t protected by your insurance at the time you engaged in an accident, you do run the risk of being held accountable for all the damages on your own. So, what does this mean?
Well, there are two ways it could go.
- You are penalized for not carrying the required insurance coverage and if the damage from the accident exceeds $1,000, your license and your vehicle’s registration will be suspended. You will then need to produce valid proof of a policy, which means you will still need to purchase one in order for your license and registration to be reinstated. You will also be held accountable for the damages you caused. This means if the driver was injured and/or their vehicle was damaged, they are going to look at you, not your insurer, to cover the costs associated with these damages.
- While you will likely be penalized for not meeting Iowa’s insurance requirements, you may be able to come to some agreement with the other driver in regards to what the damages are worth. It would definitely benefit you to have one of our accident attorneys in Davenport, Iowa help you through this process, representing you and speaking on your behalf. While you may have neglected your insurance and allowed it to lapse, you don’t want to be taken advantage of simply because you were at fault for causing an accident.
The issue with having your insurance policy lapse is that if it happens to not be in effect when you engaged in an accident, technically you aren’t covered. If you are currently facing this particular situation, it would benefit you greatly to have an accident lawyer in Davenport, IO to assist you and help you get through the matter swiftly and with much more ease. It extremely stressful to have to deal with an auto accident, but having to do it knowing you weren’t complying with state laws is even harder.
Be sure you are complying with Iowa’s Insurance requirements at all times.
If you are driving in the state of Iowa, you need to be sure you are carrying the required limits. These include:
- $20,000 for bodily injury per person per accident.
- $40,000 for bodily injury for all person per accident.
- $20,000/$40,000 uninsured/underinsured motorist coverage.
If you would like assistance in finding a local accident attorney who can provide you with legal aid in the city of Davenport, Iowa, USAttorneys.com would gladly point you in the right direction.