Driving without auto insurance is illegal in most states. States want their residents to prove they can take financial liability if they are in an accident. If you are in an accident and do not have insurance, you could have penalties including fines, loss of driving privileges and auto registration. In the worst cases, you could even face jail time in some states.
In this type of accident, you will need to pay for all damages to your vehicle from your pocket. Also, you may be sued by other drivers and passengers for their damages and injuries.
Even if you get online and buy insurance the next day, the new policy only applies to accidents that occur after you purchase it.
If another driver hits you, the outlook improves. The at-fault driver is usually responsible for covering damages in an auto accident. But some states limit the type of expenses you can recover if you drove without insurance in that type of accident.
Keep in mind that drivers will have difficulty getting affordable auto insurance when they are looking for a policy. Also, insurance companies will charge you more for insurance once you are able to get it. Covering a person who has been in an accident without insurance is a higher risk for the insurer.
Whether you get in a car accident or not, if you are caught without insurance, you face some serious consequences. For instance, in Texas, you will be fined a minimum of $175. In Minnesota, the identical offense can bring a fine up to $1000, 90 days in jail and loss of driver’s license and auto registration.
It is not worth the risk to drive without insurance and it never something we recommend.