Kentucky Car Insurance Laws


Kentucky welcome signMotorists in the Bluegrass State are required to carry automobile insurance in order to be legally allowed to drive. To avoid breaking the law vehicle owners must have a vehicle protection plan that contains a basic amount of Liability Coverage equal to $25,000 for bodily injury to a single person and $50,000 per accident, as well as $10,000 for property damage. Drivers are also given the option of including Personal Injury Protection (PIP) equal to $10,000 designed to cover the insured’s medical expenses, loss of wages, and other related injuries regardless of who is at fault for an accident. However, Kentucky’s policyholder’s have the option of rejecting PIP; in order to reject PIP a KY resident must formally reject it in writing with a form submitted to the state Department of Insurance.

Failure to remain properly insured in KY, or be able to provide sufficient proof of insurance can amount to a number of serious consequences. In the event that the Department of Vehicle Registration becomes aware that a motorist is without an adequate amount of coverage, they would likely revoke the vehicle owner’s registration. If caught by a law enforcement officer, an uninsured Kentucky motorist could potentially face a fine ranging from $500 to $1000, a 90 day jail sentence, both a fine and a jail sentence, and the motorist’s license plates may be suspended. In situations in which a vehicle owner has been caught multiple times without the proper coverage, the consequences can get progressively worse.

Residents should note that Kentucky auto insurance laws still apply when a motorist allows others to borrow their automobile. It’s important that any individual that borrows a motorist’s vehicle is also insured because within the Bluegrass State if the owner of a vehicle allows another uninsured individual to operate their car, the policyholder that owns the vehicle in question is responsible for the same penalties as the uninsured driver. In order to avoid such consequences, vehicle owners are encouraged to consider adding any motorists that frequently drive the insured’s automobile to the existing policy in order to remain adequately insured.

Kentucky state flagMotorists may also wish to take note of The Kentucky Point System created to encourage residents to drive safely by punishing those who are habitually negligent motorists. With this system a driver accumulates points for various reasons, including traffic violations, speeding, driving while under the influence, etc. In the event that an individual accumulates 12 points within a period of two years there is a chance that the offending motorist could lose their license. Drivers that are under the age of 18 only have to reach 7 points before possible license suspension takes place. In any case, accumulating points will likely make finding cheap car insurance more difficult and safe driving is strongly encouraged at all times.