Kentucky Car Insurance Requirements
In 1984 Kentucky joined the majority U.S. of states by introducing compulsory car insurance laws. As a result of the regulation, all Kentucky drivers are now required to purchase minimum liability insurance as a means of providing financial responsibility in the event of a traffic accident. Kentucky is also one of 12 states with auto insurance regulated under no-fault laws.
As a partial no-fault state, Kentucky requires insurance companies to settle personal injury claims with their own customers regardless of who is at fault in an accident. Drivers may only sue other parties and their insurance companies if injuries exceed a quantitative threshold.
Minimum Requirements for Liability Assurance
When you buy the cheapest car insurance available in Kentucky you are purchasing only liability coverage in the following amounts:
- bodily injury/death one person – $25,000 per accident
- bodily injury/death multiple persons – $50,000 per accident
- property damage – $10,000 per accident
In addition, Kentucky drivers have the option of purchasing $10,000 in personal injury protection (PIP) insurance. The advantage of this coverage is that it provides extra money toward your medical bills if you’ve been injured in a car crash. The disadvantage is that electing to purchase it limits your right to sue other drivers whose actions may have resulted in your injuries.
Proof of Insurance
Kentucky is one of many states that have implemented an electronic reporting system to keep track of car insurance information. However, it is limited. While insurance companies are required to report new policies, they are not required to report cancellations or lapses.
As such, drivers are required to carry their insurance identification cards in their vehicles at all times. That card must be produced on the request of a police officer. Furthermore, the card must be presented each time a vehicle owner renews the registration. Drivers who elect to renew online can only do so if their insurance companies have previously submitted insurance data to the online database.
Kentucky law also mandates drivers maintain liability insurance for as long as an active registration remains on a vehicle. Insurance violations, including allowing a lapse for being caught driving without insurance, bring with them heavy fines and other penalties. In some cases the court may be able to impose registration and license suspensions for insurance violations.
If you need more information about Kentucky’s compulsory car insurance law you can contact the Kentucky Department of Insurance or visit their website. You might also find assistance at your county clerk’s office.