Thread: One in seven U.S. drivers have no insurance

One in seven drivers have no insurance

By Larry Copeland, USA TODAY
Updated 1h 35m ago

Despite laws in nearly every state requiring auto insurance, one in seven drivers in the USA goes uncovered.

That's according to an industry group that estimates 13.8% of motorists are uninsured, a number that has climbed during the economic downturn as many financially-pressed Americans allowed their insurance to lapse.

"Over the last 20 years, uninsured motorists and the unemployment rate have tracked fairly closely," says David Corum, vice president of the Insurance Research Council, a non-profit supported by insurers.

Insured drivers pay a hefty price for fellow motorists who have no policies — $10.8 billion in 2007, according to the most recent data from the National Association of Insurance Commissioners.

"Most of the people that do have insurance have coverage that includes uninsured motorist coverage … to protect them (if) they're injured in an accident caused by another motorist who does not have insurance," Corum says.

Automobile insurance is compulsory in every state except New Hampshire, says Loretta Worters, vice president of the Insurance Information Institute— but that doesn't deter scofflaws.

"Laws in most states have proven ineffective in reducing the numbers of drivers who are uninsured," Worters says. "Some drivers can't afford insurance, and some drivers with surcharges for accidents or serious traffic violations don't want to pay the high premiums that result from a poor driving record. It is costly to track down violators of compulsory insurance laws, and unless the odds of getting caught are high and the penalties severe, drivers will continue to flout the law."

The rate of uninsured motorists varies widely — from 4% in Massachusetts to 28% in Mississippi, according to the IRC.

In Massachusetts, drivers must show proof of insurance before they can register a vehicle. Insurance commissioner Joseph Murphy attributes his state's low rate of uninsured motorists largely to that requirement. About half the states have a similar requirement, according to the Insurance Information Institute.

Mississippi, however, has no way for police to determine whether a driver has coverage, says insurance commissioner Mike Chaney. He says he worries about privacy and entrapment if data are misused, and his state doesn't require proof of insurance. "The legislature has never had the fortitude or the backbone to do it," he says.

% of drivers with no insurance by state.
Alabama 22
Alaska 13
Arizona 12
Arkansas 16
California 15
Colorado 15
Connecticut 10
Delaware 11
D.C. 15
Florida 24
Georgia 16
Hawaii 11
Idaho 8
Illinois 15
Indiana 16
Iowa 11
Kansas 10
Louisiana 13
Maine 4
Maryland 15
Michigan 19
Minnesota 13
Mississippi 28
Missouri 14
Montana 11
Nebraska 8
Nevada 8
New Hampshire 11
New Jersey 11
New Mexico 26
New York 5
North Carolina 14
North Dakota 9
Ohio 16
Oklahoma 24
Oregon 10
Pennsylvania 7
Rhode Island 18
South Carolina 11
South Dakota 9
Tennessee 24
Texas 15
Utah 8
Vermont 7
Virginia 11
Washington 16
West Virginia 11
Wisconsin 15
Wyoming 10



http://www.usatoday.com/news/nation/sto ... 50363390/1

I oppose mandated auto insurance. It's as unconstitutional as mandated health insurance.

Stop illegal immigration, reduce legal immigration, pass the FairTax, protect our trade, end the War on Drugs and drill baby drill, and we will solve the poverty and unemployment problems and with them the "uninsured" problems insurance companies and the well-to-do want to whine about.

Until then, spend $24 a year and buy uninsured motorist coverage if you're worried about it.

Insured drivers pay a hefty price for fellow motorists who have no policies — $10.8 billion

Why should people who obey the law have to pay to cover themselves against people who choose to break the law?