Note: Able Insurance provides insurance for Virginia residents ONLY.
We offer low cost auto insurance options online even if you have a less than perfect driving record, have never been insured before, have let your policy lapse, or have had your license suspended or revoked.
We’ve provided some information below that we hope will be helpful in answering some of the more common questions we’ve received from our customers.
Minimum Level of Coverage
Virginia has a financial responsibility law, Motor Vehicle Code 46.2-706, that requires all Virginia registered motor vehicle owners to have motor vehicle liability insurance or enough money to pay for any losses that may result from an automobile accident.
- The financial responsibility requirement can be met in one of three ways: The vehicle owner can insure the motor vehicle with minimum liability coverage through a policy issued by an insurance company licensed to do business in Virginia. The minimum liability coverage is: Bodily injury/death of one person $25,000 Bodily injury/death of two or more persons $50,000 Property damage $20,000 OR
- The vehicle owner can show proof that a Surety Bond has been duly executed, by depositing cash or securities with DMV, or apply for and receive a self-insurance certificate from DMV. OR
- The vehicle owner must pay the Uninsured Motor Vehicle (UMV) fee. Every person registering an uninsured motor vehicle shall pay a fee of $500 at the time of registration. Payment of this fee allows a motor vehicle owner to operate an uninsured motor vehicle. Payment of this fee does not provide the motorist with any insurance coverage. If involved in an accident, the uninsured motorist remains personally liable. The fee is valid for twelve months but may be prorated for the unexpired portion of the registration period. Note: If liability insurance coverage on a vehicle terminates or cancels during the registration period, the vehicle owner must either reinsure the vehicle, pay the uninsured motor vehicle fee or surrender the license plates to DMV.
Every person applying for registration of a motor vehicle and declaring it to be an insured vehicle faces stiff penalties if the motor vehicle is subsequently found to be uninsured. DMV suspends all driver's license and registration certificates and license plates issued to the owner of the motor vehicle. These items are suspended until the person pays a $500 statutory fee (collected by DMV and deposited into the Uninsured Motorist Fund), furnishes and maintains proof of financial responsibility (form SR-22) for three years and pays a reinstatement fee, if applicable.
This basic coverage is often referred to as 25/50/20 coverage.
Frequently Asked Questions Regarding Virginia Auto Insurance
Why should you buy auto insurance?
If you cause an auto accident, you may be responsible for the losses of the other people involved. A claim may be made or a lawsuit filed against you for the losses. You may have to pay not only for the property damage you cause, but also for the medical expenses, lost wages, and pain and suffering of any injured person.
If you do not have insurance, anything of value that you own, including your home, savings, future wages and other assets, may be taken to pay for those losses. Auto liability insurance will protect you so that this does not happen.
What happens if the Department of Motor Vehicles (DMV) determines that I have not met the financial responsibility requirements?
If the DMV determines that you have not met the financial responsibility requirement, the DMV may suspend your license and require an SR-22 or FR-44 form to be filed by your insurance company and require you to pay the $500 Uninsured Motor Vehicle fee. If a FR-44 is required, the minimum limits are 50/100/50.
What if you’re currently driving without coverage?
Severe penalties are imposed for not complying with insurance requirements. If liability insurance coverage on a vehicle terminates or cancels during the registration period, you must reinsure the vehicle, pay the uninsured motor vehicle fee, temporarily deactivate your license plates, or surrender the license plates to DMV.
Self-insurance or Surety Bonds are special options for owners of business vehicles. Details are available at any DMV office.
Will I have to verify proof of insurance in Virginia?
DMV monitors insurance coverage through our Insurance Verification Program. Insurance carriers provide DMV with electronic updates of insured information and vehicle description when they cancel, add and write new coverage for motor vehicles registered in Virginia.
DMV verifies that motor vehicles are properly insured by comparing vehicle registration information on file at DMV with liability information transmitted by insurance carriers. When no insurance is found, the motor vehicle owner is required to furnish policy information to DMV for verification.
If you have received an Insurance Verification Inquiry letter from DMV requesting information about your insurance policy, you may submit that information online.
For all of the reasons above and more, Able Insurance offers the coverage you need. Give us a call today!
FROM ANYWHERE IN VIRGINIA, CALL 434-979-0814 or call one of our centrally located offices:
in charlottesville, call 434-979-0814 in richmond, call 804-741-6305[google690e2319651d58b2.html]