No matter where you live, it is important to choose a company with a strong financial foundation, a track record of offering excellent service and fair rates. Each state has its own rules regarding coverage. These regulations can be modified by companies to adjust their policies.
Louisiana law requires that you have liability coverage for any automobile you own. Your family members and anyone else driving your vehicle with you permission can cause bodily injury or damage. Your family members and you are covered when you drive an automobile owned by another person, including rental cars.
Louisiana law requires all automobile owners to have liability insurance. Each vehicle must have liability insurance that covers 10/20/10. These limits cover $10,000 for bodily injuries to one person, $20,000 to bodily injury to multiple people in one accident, and $10,000 for damage to another vehicle or property.
Louisiana’s ‘No Pay, No Play’ law prohibits uninsured motorists collecting $10,000 in property damage and $10,000 in personal injury, regardless of the cause of the accident. If you purchase economic-only coverage, you may be able to waive your right of making a legal claim to pain and suffering.
Uninsured/Underinsured motorist coverage pays benefits to you if your car is hit by a driver who has no insurance or too little insurance to pay for the full amount of your injuries. This policy covers bodily injuries you or someone in your vehicle sustains from an accident caused by another driver. If there is no disinterested witness to an accident, hit-and-run drivers could be considered uninsured motorists.
Uninsured motorist coverage may be purchased as an economic-only policy. This coverage covers the same amount as uninsured motorist coverage, but only covers the actual cost of injuries to you or the occupants in your vehicle. This coverage does not cover pain and suffering.
Uninsured/Underinsured motorist property damage coverage provides for repairs to your vehicle if you are in an accident with an uninsured driver. This coverage has a $250 deductible. Your recovery is limited to $10,000, or the actual cash value. This coverage is not available if your policy does not include collision insurance.
Louisiana Automobile Insurance Plan allows companies and individuals to offer auto liability insurance to those who were turned down by the regular channels. This ensures that insurance is available to all drivers licensed in Louisiana.
Uninsured motorists can be subject to fines, limited damages recovery, and impoundment. Drivers who do not provide proof of insurance may have their vehicles impounded immediately or have their plates removed. A yellow sticker will be attached to the back windshield. The motorist has three days to prove their insurance to the Office of Motor Vehicles. If the motorist is again stopped, the officer may take the vehicle away until the proof of insurance has been provided and the reinstatement and towing fees have been paid. For each subsequent conviction, the fines are $75 to $100 and $100 to $250 respectively.
Louisiana law allows you to cancel your auto insurance policy if the company has not paid premium within 60 days. The insurance company must give you a 10-day notice if it is cancelled for non-payment of premium. You must give a 20-day notice if it is cancelled for any other reason such as traffic violations or at-fault accidents.
If your auto insurance policy has been in force for more than 60 calendar days, or is being renewed, the company cannot cancel it.
You don’t pay your premium.
You file a fraudulent claim.
A driver’s license or motor vehicle registration has been suspended for you or your household member during the policy period.
If a company cancels your policy for failing to pay premiums within the 60-day period it must provide you with a 10-day notice in writing. You must receive a 30-day notice by certified mail if you are notified of any other reason. Your insurance company must give you notice 20 days before the policy ends if it decides not renew your policy. If you ask for it in writing, your company must inform you of the reason for cancellation. The company must reimburse all premiums not paid within 30 days.
