Introduction
There are various laws under ma car insurance. These laws have their differences from those in other states. In the US, each state has distinct laws regarding vehicle insurance. The differences are mainly brought about by the system followed; either Tort or No Fault system.
History
Car insurance is a very significant factor all over the world. This came into existence many years ago. The main aim of car insurance laws is to protect people financially from accidents. This is mainly to cover for injury, death or damage of property. There are also penalties set in each country or state regarding violation of the laws. The same trend if followed by laws on ma car insurance.
Features
The liability insurance is mostly considered in most states. This is followed setting some limits on the least amount to carry. With ma car insurance laws, the set minimum liability coverage levels are as $20,000 for death or bodily injury of a single person in an accident and $40,000 for bodily injury or death of two or more persons. There is also the minimum amount for property damage that is set at $5,000. Ma car insurance laws also require that the minimum limits be purchased when registering vehicles. In addition to these minimums, there is the Personal Injury Protection, PIP insurance that covers up to $8,000 for work loss and medical expenses.
The laws on ma car insurance follow the No Fault system. This is the best part compared to the Tort system. With the No Fault system, the insurance company takes the responsibility of paying for a person’s injuries in an accident.
On the uninsured or underinsured motorist coverage, it is not required by ma car insurance laws. Though this is the case, most insurance companies recommend drivers to purchase higher amounts than those set by the state. This is in order to be on the safe side in case of accidents. The uninsured or underinsured motorist coverage is one purchased additionally to the minimum liability levels.
All drivers in the state of Massachusetts are supposed to carry ma car insurance. It is mandatory for drivers to carry at least the minimum liability levels set by the state. This covers the car rentals. As in most states, car rentals are covered by most ma car insurance policies as well as credit cards. In case they are not covered in both, then a driver must purchase the insurance from car rental companies. This is maintained at an extra $7 to $14 per day.
Having proper ma car insurance is also compulsory for every driver. The state of Massachusetts lays very harsh penalties on failure to carry vehicle insurance. The very first penalty to meet is usually a fine that is charged between $500 and $5,000. The alternative to the fine is serving a year’s jail term. Depending on the violation, a driver might also meet both penalties. Still with laws on ma car insurance, allowing the insurance to lapse may lead to severe fines or losing the license. Other penalties on violation include suspension of registration tags.
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