Auto insurance requirements vary wildly from one state to another. In some states, it's not even required at all. In others, very extensive amounts of insurance are needed. That's the case in Minnesota, which is a no-fault insurance state. As a result, drivers must obtain and maintain liability insurance and other forms of coverage at all times. There are no other acceptable ways to establish proof of financial responsibility. This doesn't mean that drivers have to pay exorbitant insurance rates. Simply collecting auto insurance quotes in Minnesota makes it easier to find affordable options.
It's useful to know the basic auto insurance requirements for the North Star State, but drivers shouldn't end their research there. Well-informed drivers tend to go above and beyond these basic requirements. That way, they are far less likely to end up owing huge amounts of money in the event of a car crash. One way to understand why more extensive insurance is needed is by considering the number of drivers who are on the road in Minnesota at any time. The state is large, and it has several metropolitan areas. Accidents are reported throughout the state every day.
Who Drives in Minnesota?
Most people realize that Minnesota doesn't have a very high population density. Most people live in a few highly populated parts of the state. According to the U.S. Census Bureau, Minnesota had an estimated population of 5,379,139 in 2012. The Federal Highway Administration, which tracks driving statistics throughout the country, reports that there were 3,306,139 licensed drivers in the state in November 2012, which means that 61.5 percent of the population was legally able to drive. With millions of drivers on the road, it's important to have exceptional insurance coverage.
Although car insurance providers don't consider gender when calculating insurance premiums, it's interesting to see how many female and male drivers there are in Minnesota. As of November 2012, 1,663,590 people, or 50.32 percent of all licensed drivers, were men. 1,642,549 people, or 49.68 percent of all licensed drivers, were women. A driver's age has a significant impact on how much he or she will pay for insurance. With a total of 83,933 people, drivers aged 19 and below accounted for 2.5 percent of all licensed drivers. Demographically, the largest group of drivers included people between the ages of 50 and 54 and totaled 175,267 people, or 5.3 percent of all licensed drivers.
Car Insurance Requirements in Minnesota
Car insurance requirements in Minnesota are extensive. For one thing, all drivers must carry liability insurance. This is the only way to show proof of financial responsibility. Liability insurance must meet the following minimum requirements:
- At least $30,000 in bodily injury coverage for one person
- At least $60,000 in bodily injury coverage for two or more people
- At least $10,000 in property damage coverage
Liability insurance is just one of the things a driver needs to operate a vehicle legally in the North Star State. Personal Injury Protection coverage, which covers lost wages and medical expenses, is also required and must total $40,000 for one person, with $20,000 for medical and $20,000 for non-medical expenses.
Underinsured and uninsured motorist coverage is also required. In both cases, it must equal at least $25,000 for one person and $50,000 for two or more people.
As far as penalties for driving without insurance go, Minnesota is very strict. For a first offense, a driver may be fined anywhere from $200 to $1,000 and may also be sentenced to up to 90 days in jail. More severe penalties are possible for subsequent offenses. In fact, drivers can have their licenses suspended or even revoked. It all depends on the specific circumstances.
Driving without auto insurance in Minnesota is a bad idea. However, drivers don't have to pay through the nose. Even high-risk drivers can get help through the Minnesota Automobile Insurance Plan. Others should collect plenty of quotes online and look them over carefully. Excellent, affordable coverage is out there.