Moving to a new state requires consumers to understand new traffic laws that may affect them. For example, in Oregon it’s against the law leaving a traffic-side car door open longer than necessary. And in Kansas, drivers can be locked up 30 days for screeching a car’s tires. Big changes also apply to insurance coverage drivers carry, particularly in the case of no-fault vehicle coverage, which is required in several states across the Nation.
Also known as Personal Injury Protection (PIP), when a car wreck occurs, regardless of blame, no-fault insurance covers the driver and passenger’s monetary losses due an inability to work. While it also covers hospital bills and even the cost of a funeral, it also limits a driver’s option of suing an at-fault driver. Additionally, states that are no-fault require drivers to have the state’s minimum coverage.
States turned to the no-fault rather than a tort system in order to keep insurance costs down and keep frivolous lawsuits to a minimum and the way it works is when a driver has a car wreck in state that is no-fault their insurance company picks up the auto repair bill, lost monies and hospital expenses of the driver and passengers in the vehicle but it only pays out to the insurance policy limits. Any losses incurred over their limits are not covered by at-fault coverage and each state has its own rules for when drivers may able to take an at-fault driver to court to sue for damages when losses exceed coverage limits. For example, hospital bills need to exceed a certain threshold in some states to sue for damages while in others litigation is only possible for incurred costs outside of what insurance covers and the hospital cost exceed a set amount.
On the flip side, in a tort state a driver in a car wreck either has their own car coverage take care of the damages or has the at-fault driver’s insurance company take care of the damages.
Outside of tort and no-fault is a combination arrangement known as the option modified system which allows drivers to choose no-fault coverage or opt out of it. There are currently a dozen no-fault U.S. states: Hawaii, Florida, Kentucky, Kansas, Michigan, Massachusetts, Minnesota, North Dakota, New York, New Jersey, Utah and Pennsylvania.
Motorists in tort states also can purchase the option of PIP and other similar insurance products such as the following:
- Uninsured Motorist Coverage – Coverage for drivers involved in a car wreck with a driver sans auto accident coverage or when they’re in a wreck and the offending motorist takes off.
- Medical Payments Coverage – Coverage of motorists and their passengers for hospital bills incurred after a wreck regardless of fault; funeral costs are also covered. Typically also covers policy holders in cars that are borrowed.
But before a driver moves to another state they can check AutoInsuranceMonitor to help keep up with the latest changes they may be facing. The driver-friendly auto insurance website provides drivers answers to tons of questions and offers one-click access to some of America’s top insurers like 21st Century, AAA Auto Insurance, AARP Auto Insurance, and Farmers Auto Insurance, in addition to links to the top insurers in the new state they will be calling home.
OABTW, if a driver is moving to Hilton Head, SC, it’s against the law to store trash in a vehicle so as to not give rats something to munch on.