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Statutes of Limitation for Car Insurance Claims.

An accident is a bad experience and may leave the people involved in a negative state that one would not wish on their worst enemy. The aftermath entails injuries – physical or emotional and also puts the parties in a financial quagmire they would all love to avoid. In such a case then auto insurance laws come in to alleviate the unfortunate suffering that comes as a result of the car accident. Hereby, there is a statute of limitation that comes into play and in most cases in most of the states, it has a validity period of 2 years, should an out of court settlement has stalled. Many of car insurance settlements and disputes are usually resolved by the parties involved in unison with their insurance carriers, but if this does not go as planned, the judge is always the best option.

What is a statute of limitation? To comprehend what it entails you must comprehend the meaning of the term. Basically, you can make a claim or begin legal proceedings in case an out of court settlement has proved unfruitful and the law court is the last option. However, there is a pre determined period of time that the auto insurance laws in each state have set for you to make this move. Failure to start proceedings or make a claim for damages or compensation of costs and expenses within this stipulated period means you are out of luck. In other words, in a criminal lawsuit, it is the period taken by the state to charge an offender of a particular crime while in a civil lawsuit; it is the period of time taken by the plaintiff to bring proceedings to the court against a defendant. In most cases the period is two years, meaning after this, you cannot bring any charges against the offender any time in the future under any circumstances.

All the states have their different auto insurance laws and have the full mandate to determine their individual statutes of limitation. In some states, a car accident claim or suit comes under the personal injury tort, meaning if a party suffers injury in a car accident that came about as a result of negligence of the other party, then, you have a minimum period stipulated by your respective state to make a claim or sue them for damages.

The first option is always negotiating and reaching an agreement out of court but incase this fails, you can go to the courts for a remedy to the dispute. In the negotiations, both parties will be present and more so, their respective insurance carriers and a mediator, who is an unbiased third party. The process may take a while but it is nonetheless effective if you observe the statutes of limitation concerning this matter.

You should have a valuable partner by your side in case of such a situation. Your affordable and cheap car insurance carrier should be able to give you such vital information and expert advice and stand by you throughout the whole ordeal. To get matched up with only the best providers in the whole country, please type in your zip into the form above and we will do the rest in a matter of seconds. You will also be able to compare auto insurance quotes and policies from these companies.

US Auto Insurance Laws For Various Aspects

For most of the states in the US, minimum liability insurance usually falls under the following categories and differ from state to state in accordance with the state’s auto insurance laws:

In California, the statutory minimum requirement of liability insurance falls into three parts:

I. Minimum liability insurance for damage caused to property for every vehicle accident

II. Minimum liability insurance for bodily injury or death to one person for every car accident

III. Minimum liability insurance for bodily injury or death to more than one person for every car accident.

In the US, you are able to achieve financial responsibility by purchasing a car liability insurance cover from a car insurance company licensed and registered to operate in your state. You can also show that you have financial responsibility by depositing a certain stipulated amount of cash with your local department of motor vehicles, get yourself a surety bond from an authorized car insurance company or alternatively, you could get a self insurance certificate issued by your local DMV in the event that you own a vast fleet of vehicles.

Here is a look at some of the auto insurance laws that apply to different aspects of auto insurance.

Auto insurance laws on rental cars:

After establishing the fact that all cars are expected to have insurance under the law, all rented vehicles are not an exception. Auto insurance companies and credit card companies across the nation have policies that are tailor made for rental cars. Rental companies also have facilitation for purchase of insurance. Here, the law requires that you show proof of financial responsibility by having a copy of the agreement between the rental company and you detailing the auto insurance status.

Auto insurance laws on exclusion of coverage

A car insurance company has every right to exclude certain persons from coverage if they have valid reasons. This however, is not to say that they are free of financial responsibility in the event of an accident. The holder of the policy may be held personally responsible especially if the driver was behind the wheel with their permission. In this case, the policy of the owner becomes invalid and they have to cover for the damages out-of-pocket.

Auto insurance law on under or uninsured motorists

The law does not make it mandatory to have uninsured or underinsured motorist coverage but it is the coverage that you would really want to have. This is because in the event of an accident, you do not know the state of the other party’s auto insurance and you do not want to be caught unaware. The price may range from $50,000 to as high as you may want to go.

Auto insurance laws on previous auto insurance status

Lapsing of your insurance policy is taken seriously and in many states buying short-time insurance only to cancel it can result in suspension of your driver’s license and car registration. Buy long term insurance and do adequate research so as to avert the need to cancel it due to any reason because the long arm of law will catch up with you.

Enter your zip in the slot above for more info on auto insurance laws and also get a chance to compare auto insurance policies and quotes.