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Vermont car insurance laws require you to insure your cars with required insurance covers. You will be protected from financial burden if your car is involved in an accident. This article will detail out more information about Vermont car insurance requirements, rates, premiums and other relevant information about your car insurance.
Vermont Car Insurance Requirements
You are required to purchase uninsured motorist insurance and liability coverages as part of your Vermont car insurance policy.
You must purchase liability car insurance to help you pay the cost of property damage and injuries as a result of car accident you caused. The following are minimum limits of your Vermont liability insurance as stipulated by Vermont’s insurance laws:
- $25,000 for death or injury to one person per accident
- $50,000 for total death or injury for multiple accident victims per accident
- $10,000 for property damage.
Uninsured/Underinsured Motorist Coverage
Uninsured and underinsured motorist coverage is needed as part of your Vermont car insurance policy. This insurance coverage helps you pay the cost of injuries that you suffer after an accident caused by a driver with inadequate or no insurance cover. The minimum limits of this insurance coverage include:
- $50,000 for death or bodily injury per person per accident
- $100,000 for total death or injury caused to multiple people per accident.
Liability and Uninsured/Underinsured Motorist Coverage will not cover you fully from all accidents. You need additional insurance coverages to protect you further. After purchasing the required Vermont car insurances, consider the following optional coverages:
- Collision – Protects you from traffic related accidents
- Comprehensive – Insurance that helps you cover the cost of damages resulting from all accidents not limited to traffic accidents.
- Medical payments
- Towing and labor
Proof of Insurance
Vermont State does not require you to file a proof of insurance with the Department of Motor Vehicles. However, you will be required to show proof of insurance when you are stopped by a traffic police. Proof of insurance is an insurance ID that can be obtained from your car insurance provider.
Violations and Penalties
You are required to carry proof of insurance (insurance ID) all the times. If you are found driving without this ID, you will be given up to 15 days to provide it to the traffic police who stopped you. Failure to do so, you will be charged in court, and if you are found without proof of insurance, you will face the following penalties:
- A fine
- 2 points on your driving record that may eventually lead to driver’s license suspension
- Filing of Financial Responsibility Insurance Form (SR-22).
Financial Responsibility Insurance (SR-22)
Vermont may require you to file SR-22 insurance if you are convicted of traffic violation or involved in a car accident. If it is determined that you file SR-22 insurance, you will be given up to three years to do so. You will file your Financial Responsibility Insurance through your Vermont car insurance company.
Other Car Insurance Issues
The Department of Financial Regulation in Vermont is the department that is responsible for car insurance complaints and frauds.
You must attempt to resolve the dispute with your car insurance company before involving Vermont’s Department of Financial Regulation in Vermont. If the dispute is not resolved, you can then file your complaint to the Department of Financial Regulation through online, mail or fax (802) 828-1446. You will be required to send a complaint form to the DFR using the address below: Department of Financial Regulation Insurance Consumer Services 89 Main Street Montpelier, VT 05620
Car Insurance Fraud
Car insurance companies lose significant sums of money through car insurance frauds. These losses trickle down to affect car insurance premiums. Examples of Vermont car insurance fraud include:
- Staging car accidents
- Falsifying car repairs
- Falsifying injuries
- Increasing medical costs.
You can help fight car insurance frauds by reporting any suspected car insurance fraud by calling (800) 964-1784.
Car Insurance Premium
Most Vermont car insurance companies use various factors when calculating your car insurance rates and premiums. Some of these factors include:
- Your driving record
- The make and model of your car
- Your car insurance claim history
- Your gender
- Your age
- Your marital status
- Your credit history.
One great way to save on car insurance is by looking for a car insurance company that offers discounts. Ask your insurance company whether they offer any of the following discounts:
- Good driver discount
- Multi-car discount
- Good student discount
- Homeowner’s discount
- Anti-theft discount.
These discounts can save you a lot of money, but the best way to obtaining cheap insurance for your car is by maintaining a clean driving record.
Most Stolen Cars in Vermont
If you are driving a car that is always targeted by thieves, you are likely to pay higher insurance rates. This is the 2013 list of the most stolen cars in Tennessee according to www.nicb.org
- Subaru Legacy
- Honda Civic
- Ford Pickup and Honda Accord
- GMC Pickup (Full Size)
- Chevrolet Pickup (Full Size)
- Jeep Cherokee/Grand Cherokee
- Toyota Camry and Toyota Corolla
- Subaru Forrester.