Iowa High Risk Auto Insurance
In the state of Iowa, all drivers are required to carry at least a minimum amount of auto insurance coverage. Some of the companies available to provide high risk auto insurance coverage include AIG, American Standard, California Casualty, and many other national and state insurance carriers.
Iowa is a Tort State
Iowa is a tort system state, meaning that one driver in every accident is found to be at fault and held legally responsible for paying all of the medical expenses and property damage costs of the other parties involved in the accident. Minimum insurance requirements are $20,000/$40,000 bodily injury and $15,000 in property damage.
Responsible Party Must Produce Proof of Insurance
If found responsible for an accident in the state of Iowa, a person must produce valid proof of insurance or provide financial responsibility proof in order to avoid having one's driver's license suspended. If you have no insurance, there is a chance that you can get off without insurance if you provide one of the following: a signed release from all injured parties in the accident, post a payment to the ODS, arrange a payment system with the other parties that they find acceptable, prove that you have settled completely with the other parties, or obtain a civil judgment releasing you from all liability.
Iowa Refrains from Levying Minimum Coverage Requirements
Even though Iowa refrains from enacting a compulsory insurance law, the Financial & Safety Responsibility Act of Iowa states that high risk drivers may have their registration and operating privileges suspended. Reinstating the license requires drivers to prove responsibility for financial costs relating to damages or injuries to others.
If you are found liable in an Iowa car accident, you may find yourself in need of high risk auto insurance. Know your rights and requirements before shopping for a necessary policy.