All vehicle owners are required by the law to carry a significant amount of insurance on their vehicles. Since Arkansas follows the at-fault insurance ruling with an add-on option for no-fault insurance, drivers have a choice of what insurance they will select. PIP provides them with no-fault protection which means they can claim a settlement with their own insurance company no matter who was at fault for the collision and they can receive compensation for their injuries and lost wages.
For drivers in Arkansas, it is not necessary to register for full coverage auto insurance. Even though full coverage insurance is not required, it is always the smarter choice to opt for it. When a person is fully covered, they do not have to worry about suffering major financial losses if they ever find themselves in a serious accident. A person can choose from signing up for collision insurance, comprehensive insurance, uninsured insurance, and underinsured motorist insurance.
Collision insurance covers the damage to the vehicle by paying for damages that are caused by an object or another vehicle. Comprehensive insurance covers damages caused to a vehicle by other incidents such as theft, vandalism, or accidents with animals. Uninsured and underinsured motorist insurance covers a person when the at-fault party is not properly insured.
Drivers should carry around proof of insurance with them wherever they go on a drive to avoid trouble with police officers.
What documentation is considered proof of insurance?
Proof of insurance can be anything from an insurance ID card that is currently up to date to a copy of their insurance policy in a binder. These proofs should always be in the vehicle as the information needs to be readily available in case an officer requests it. A driver also must show proof of insurance when they are renewing a vehicle registration or when they are obtaining a vehicle title or registration.
If a person fails to provide this proof of insurance, they can be fined between $50-$250. If they are repeat offenders, the fine goes up every time they fail to produce their insurance in front of an officer. Apart from paying the fine, a person may have their vehicle registration suspended as well.
Anyone who owns a vehicle or who drives regularly should make sure they are properly insured before they begin driving on the road. An insurance lawyer who is well-versed in all insurance-related laws can help a person select the best premium for them and help a person request settlement from their insurer if they ever find themselves in an accident with another driver.