When most people think of Nevada, Las Vegas springs to mind. There's a lot more to the state than the popular gambling destination, though. Millions of people call the Sagebrush State home, and many of them drive there regularly. It would be nice if everyone was safe and careful while driving, but that's not the way it works. In an effort to make the roads as safe as possible, the state of Nevada requires drivers to maintain proof of financial responsibility. This is most commonly done through liability auto insurance.
Nevada has minimum requirements when it comes to liability car insurance. In other words, people can't just buy policies at random. At the same time, the basic requirements aren't generally enough to truly protect most drivers. After educating themselves about the financial and legal risks of driving without sufficient coverage, most people opt for more extensive insurance. One way to drive home the importance of having excellent coverage is by researching the kinds of drivers who are on the road in Nevada. There are millions of them, and many of them are young and inexperienced.
Who Drives in Nevada?
According to estimates by the U.S. Census Bureau, the state of Nevada had a population of 2,758,931 in 2012. As far as who actually drives in the Sagebrush State, the Federal Highway Administration reports that there were 1,700,829 licensed drivers as of November 2012, which means that 61.7 percent of the population is legally allowed to drive. Additionally, 872,514 people, or 51.3 percent of all licensed drivers, were men and 828,315 people, or 48.7 percent of all licensed drivers, were women. Insurance companies do not take gender into consideration when calculating premiums.
Gender isn't considered when calculating insurance premiums, but drivers' ages are. A driver's age provides a strong clue about his or her level of experience. Young drivers naturally have much less experience than more mature drivers. In Nevada in November 2012, 28,005 people, or 1.7 percent of all licensed drivers in the state, were aged 19 and below. Demographically, the largest group of drivers consisted of people between the ages of 40 and 44. It totaled 87,883 people, or 5.2 percent of all licensed drivers in the state. The driving population of Nevada is relatively young when compared to many other states.
Car Insurance Requirements in Nevada
Drivers technically have two ways to prove financial responsibility in Nevada. It's necessary to prove financial responsibility in order to drive legally in the state. The vast majority of Nevadans opt for liability insurance. Only a small percentage are able to use the other method, which is self-insurance. Self-insurance is only an option for those who have 11 or more registered vehicles.
The minimum car insurance requirements in Nevada are as follows:
- At least $15,000 in bodily injury coverage for one person
- At least $30,000 in bodily injury coverage for two or more people
- At least $10,000 in personal property coverage
The state of Nevada is very strict about enforcing auto insurance requirements. Its Insurance Verification Program, or IVP, is charged with ensuring that all drivers maintain valid coverage. Insurance providers must send monthly reports to the state's DMV. When a policy lapses or is canceled, the corresponding vehicle is flagged and the owner is notified. The person has 20 days to show proof of insurance. Failing to do so results in the suspension of the driver's registration.
People who continue driving with suspended registrations face very serious consequences. Their plates are removed from their vehicles, and their cars are impounded. Once all of that has happened, a driver must obtain and show proof of liability insurance and pay a reinstatement fee of anywhere from $250 to $1,750.
In the event that a vehicle is flagged erroneously, a driver may appeal the decision with the Office of Administrative Hearings. Furthermore, vehicles that are disabled or otherwise off the road for extended periods of time may be exempt from the insurance requirements. Drivers should look into Dormant Vehicle Affidavits in such instances.