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The Protection Offered by Car Liability Insurance Coverage

The average annual rate of fatal car accidents in the U.S. from 2008 to 2015 was 33,000, which is 11,000 less than the average annual rate from 1981 to 2007. The National Highway Traffic Safety Administration (NHTSA), and all those directly concerned about traffic safety are obviously working hard in implementing road safety rules. Other than the passing of new laws aimed at further improving road safety, car manufacturers also do their part by improving car design and equipping new vehicles with modern safety devices that will make cars safer than ever.

Having 33,000 deaths every year is alarming, especially, when more than 90% of car crashes are due to driver error. This simply means that these accidents and deaths can be prevented if only drivers would act responsibly while behind the wheel and not compromise the safety of others on the road.

Bad road behavior is not the only fault that drivers have, though. Many of those who are at-fault in accidents are also guilty of failing to paying compensation to their victims. As a result, besides causing their victims pain and suffering, victims are also made to suffer financially due to the cost of medical treatment and loss of wages.

To help assure accident victims of the compensation they have a legal right to claim, carrying auto liability insurance was made compulsory for drivers. This law was passed in 1925, with the states of Massachusetts and Connecticut being the first to adopt it. Today, this law is known as the Financial Responsibility law and its aim is to help make sure that drivers who cause accidents have the financial capability to compensate victims for the damages and losses these are made to suffer.

The Financial Responsibility law requires that drivers carry auto liability insurance. The type of insurance coverage a driver needs to carry depends on the type or liability system recognized in the state where he or she resides. As many as 38 states recognize the tort or fault insurance system, while in 12 others, the “no-fault” coverage is what is required. Under the tort or fault system, compensation is paid to the victim by the insurance provider of the driver at fault; under the “no-fault” system, on the other hand, drivers involved in an accident are compensated by their respective insurance providers regardless of who is at fault in the accident.

Fault or “no-fault” system, one common thing about insurance policies is that these are needlessly expensive. Often, drivers are made to pay much more than what they really should. With help from independent car insurance firms, according to the website of Abel Law Firm, drivers have the chance of getting the type of coverage they need without hurting their budget. These independent car insurance firms offer clients free insurance quotes online to enable them to compare and find the best, yet cheapest, insurance deal.