All drivers in North Carolina must carry proof of insurance whenever they are operating a car, truck, motorcycle or other motor vehicle. In contrast to many other states, North Carolina’s laws are lenient, but its requirements are quite strict. Auto insurance can be confusing for both newcomers and old-time residents of NC alike, and this guide was written in order to provide the best possible information for anyone interested in making an informed auto insurance purchase. Read on for a collection of all the pertinent information available both online and offline about NC car insurance.
North Carolina Auto Insurance Requirements
All vehicles must carry car insurance in the state of North Carolina. Any drivers caught by the authorities in defiance of this law will be subject to a 30-day revocation of license plates. In order to get the plates back, drivers will have to pay upwards of $100, which operates as a sort of fine for driving without proof of insurance. This isn’t that punitive as far as laws go, but it would be silly not to carry car insurance and be on the hook for a hundred dollars.
North Carolina insurance requirements are among the most comprehensive in the country. Liability insurance minimum requirements are $30,000 per person and $60,000 per accident for Bodily Injury Liability, as well as $25,000 for Property Damage Liability. In addition to these liability requirements, NC drivers must also purchase Uninsured/Underinsured Motorist Coverage in totals equal to liability coverage (30/60/25 for underinsured motorsts as well as for insured motorists).
When your NC insurance expires, your insurance company will notify the North Carolina DMV. The DMV office will then issue a Form FS-7 Notice. If you don’t respond to the notice with proof of insurance within ten days, the state will revoke your license plates for a month.
North Carolina Auto Insurance Laws
North Carolina is a Tort state when it comes to car insurance. This means that fault is determined and damages indicated by a court of law. If you are ruled at fault, your car insurance will pay the cost of all damages and your premiums will be the only ones to suffer. Additionally, victims declared in tort cases may decide to sue for more damages, including loss of wages incurred by the accident or the ever-nebulous “pain and suffering.” Insurance experts recommend that individuals living in tort states like NC purchase greater than the minimum levels of liability insurance coverage.
North Carolina Auto Insurance Coverage
There are a number of available coverage options in addition to the NC minimums. Liability and UM minimums provide a lot of coverage, though you might consider going one or two levels up in coverage if you’re concerned that you might cause an accident, as tort laws give people lots of incentives to fabricate claims and get more money out of the driver at fault. Additionally, you may want to purchase more extensive forms of car insurance known as Collision and Comprehensive insurance. Collision insurance pays you for damages done to objects or property with no other drives involve, while Comprehensive insurance allows you to be reimbursed if your car is stolen or damaged by harsh weather. Depending on where you live, what you drive and who uses your car, any of these insurance options may be perfect for you.
Cheap North Carolina Auto Insurance Quotes
You can get free NC auto insurance quotes from many major providers’ websites. Insurance companies want to showcase their cheap prices in their quotes so you will choose them over the competition, so it is up to you to compare and see which quote offers the best deal for you. In order to get an online quote, you will have to provide personal information as well as information about the type of coverage you desire.
North Carolina Auto Insurance Ratings
Ratings for NC auto insurance vary depending on certain factors. Your insurance rating is effectively a number determining how much risk an insurance company considers you to be, and it affects the prices they are willing to offer you for a quote. Different companies value these factors differently, but by and large they are all used in all the rating algorithms. They include:
* Credit score
* Driving record
* Driving habits
* Claims record
* Health habits
* Where you live
* Car make/model
North Carolina Auto Insurance Rates
NC’s average rates are about $200 below the average US rates of $1,440 per year. Depending on where you live in the state, you may have to pay more. For instance, Charlotte residents tend to pay over $1,400 annually, while residents in more rural areas may be able to pay less than $1,200 annually. It is generally a good deal to get car insurance in North Carolina as opposed to other parts of the country, since you typically get better coverage for less.
North Carolina Auto Insurance Companies
Most of the big names in car insurance serve North Carolina, but not all of them offer the best possible deals. The below insurance companies provide some of the best deals:
* Travelers Insurance
* Liberty Mutual
If you prefer a different company or if you want to check the rates of another car insurance provider, you would do well to do so. The more research you do, the more likely you are to find the price that is right for you.