In the Bay State, residents that wish to drive or register an automobile must be able to prove financial responsibility in order to do so. This is most commonly done by purchasing an auto insurance policy that meets a series of specific requirements. To be considered adequately covered, residents must carry coverage that includes the following:
- Bodily Injury Liability
- $20,000 per person
- $40,000 for per accident
- Property Damage Liability
- $5,000 per accident
- Personal Injury Protection (PIP)
- Uninsured Motorist
- $20,000 per person for bodily injury
- $40,000 per accident for bodily injury
If a motorist is caught with an insufficient amount of coverage they may face a number of potentially serious consequences. Offenders could face a fine ranging from $500 to $5,000 and up to a year in prison. There may also be additional long term consequences as well that could affect how much the offending motorist pays for coverage. Being convicted of such an offense may lead to higher premiums over time for various reasons. When determining rates Massachusetts auto insurance companies typically look at a motorist's driving record. A motorist with a series of serious offenses, such as driving while uninsured, may be placed in a high-risk category and face steeper premiums as a result. Some insurers may even choose to deny coverage entirely.
In order to deter motorists from breaking the law and encourage safe driving, Massachusetts created the Safe Driver Insurance Plan. This program works by rewarding safe driving with lower premiums, while ensuring that higher-risk drivers with poor driving records pay higher coverage costs. If a vehicle owner commits a traffic violation or is considered at-fault for an accident, a series of points may be added to their driving record. The number of points that an individual receives is often based on the seriousness of the accident or violation. The more points that an individual accumulates the higher their rates are likely to increase. On the other hand, if a motorist has a small number of points they are likely to obtain various savings, such as the Excellent Driver Discount, which can help lower coverage costs considerably.
Motorists may want to also note that the minimum coverage required by the state does not cover any damages that are caused to the insured's automobile. If a driver wishes to obtain such protection, they may benefit from a MA car insurance comparison with the inclusion of comprehensive and collision, which will insure vehicles for physical damage.