Required Arizona Auto Insurance.

Required Arizona Auto Insurance.

By Francis William.

Arizona is one of the few states that does not mandate liability auto insurance for the people that register cars in the state.

The laws governing Auto Insurance in Arizona state that a car owner may demonstrate financial responsibility by establishing certificate of deposit,  a cash deposit,  or a bond for the sum of $40,000.00.  Because most drivers do not have this ready cash to tie up for protection in case of an accident,  most opt to purchase a liability insurance policy before they register their automobile in the state.

The liability insurance can be purchased from any insurance company licensed in the state.If you choose to go with the insurance instead of the proof of financial responsibility Arizona Auto Insurance law has established the minimum amount that you must carry for liability insurance.

You will see the coverage listed as 15/30/10. The numbers quoted are in thousands.

The first number is the amount of personal injury per person per accident.

The second number establishes the maximum amount that will be paid for personal injury per accident and

The Third number is the amount of personal property damage that will be covered per accident.

To put this is another way,  if you are in an accident, are found to be at fault,  and have the minimum coverage your insurance will cover up to $15,000 per person in personal injuries.  However the coverage is limited to $30,000 per accident for all personal injuries.  Any damage you do to someone else’s property is limited to $10,000.

While the laws for Auto Insurance in Arizona have established the minimums, most drivers choose to purchase more insurance than required.   In these days of high health care costs $15,000.00 does not go far when one considers hospital care, rehabilitation care, and attorney’s fees.  The reason many people carry more than the minimum is that you can still be held responsible for any costs that are not covered by your insurance policy.

The Auto Insurance in Arizona, that is required by law, only covers damage to other people and their property in an accident in which you are judged at fault. It does cover repairs to your car or personal property. In the case where the other driver is found at fault and does not have insurance or can not be identified you may end up having to pay for the damages to your vehicle yourself.

Many finance companies and leasing companies will require you to carry collision and comprehensive so that their interests in your car will be protected in case of damage.

Francis William@autoinsurancearizona247.com

Filed under: Auto Insurance Arizona

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