Auto Insurance Required for Registration Minnesota
Reader’s Question:
I will be buying my very first car soon. Is auto insurance required to have the car registered in Minnesota?
Jonathan
Minneapolis, MN
Every car owner is required to obtain auto insurance coverage based on the financial responsibility laws of Minnesota. Likewise, for a car to be registered with the Department of Motor Vehicles (DMV), a proof of insurance needs to be presented for the car to be registered. Failure of any motorist to obtain auto insurance coverage may result to a driver’s license suspension. Moreover, thousands of dollars will have to be paid for statutory fines, attorney’s fees and driver’s license reinstatement fees. The car in question may also end up in the state impound.
With all these possible consequences, it is more practical to just comply with the auto insurance requirements. Not only will you be protecting your property and sanity, but other people’s safety, as well.
The State of Minnesota strictly adheres to the no-fault policy. This law has been adopted to cut back on lawsuits and extend prompt and necessary financial assistance to persons involved in a traffic accident. This law dictates that the insurer will be the one shouldering all the costs for medical treatment of its policyholder. It is for this reason that Personal Injury Protection (PIP) needs to be in effect at the time of the accident. All drivers also need to purchase the minimum liability auto insurance. This kicks in when the insured is liable and the other driver’s coverage was not enough to pay for medical care and repairs to the damaged vehicle.
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