Car Insurance Louisiana

Wherever you live, you should select a car insurance company that is financially sound, has a history of

furnishing good service, and charges a just rate. Each state has its own regulations concerning coverage.

And the companies change their policies to reflect these differences.

Under Louisiana law, you must carry liability coverage on any car you own. Liability insurance compensates

bodily injury or property damage caused by you, your family members, and others driving your vehicle with

your permission. You and your family members are also covered when driving another person's car including

rental private passenger vehicles.

Louisiana law compels that all registered owners of an automobile carry liability insurance. In LA, each

vehicle is required to have 10/20/10 liability limits. Those limits provide payments of $10,000 for bodily injury

to one person, $20,000 for bodily injury to more than one person in a single accident, and $10,000 coverage

for damage to someone else's vehicle or other property.

The Louisiana law known as 'No Pay, No Play' prohibits uninsured motorists from collecting the first $10,000

in property damages and the first $10,000 in personal injuries regardless of who causes the accident. This

law also includes a provision that may permit you to waive your right to make a legal claim for pain and

suffering if you buy economic-only uninsured motorist coverage.

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. Any bodily injury you or an

occupant of your vehicle suffers due to an accident caused by another driver is covered under this policy. Hit-

and-run drivers may be classified as uninsured motorists if there is a disinterested witness to the accident.

You may choose to purchase uninsured motorist economic-only coverage. This coverage is the same as

uninsured motorist coverageexcept that it covers only the actual costs of injuries to you and the occupants

of your vehicle. Pain and suffering are not included under this coverage.

Uninsured/Underinsured motorist property damage coverage provides for repairs to your vehicle if you are in

an accident with an uninsured driver. A $250 deductible applies under this coverage, and your recovery is

limited to $10,000 or the actual cash value of the vehicle, whichever is less. If your policy includes collision

insurance, this coverage is not available.

The Louisiana Automobile Insurance Plan allows companies to write auto liability insurance for persons who

have been turned down when they tried to get coverage through the regular channels. This assures the

availability of insurance to everyone licensed to drive in this state.

Uninsured motorists are subject to penalties such as fines, limited recovery of damages, and impoundment

of the uninsured vehicle.

Motorists who fail to provide proof of insurance can have their vehicles immediately impounded or have their

license plates removed and a yellow sticker affixed to the back windshield of the vehicle. The motorist is then
given three days to provide proof of insurance to the Office of Motor Vehicles. After three days, if the

motorist is stopped again, the officer can impound his or her vehicle until proof of insurance is given and all

towing and reinstatement fees are paid.

The fines range from $75 to $100 on the first conviction, $100 to $250 on the second conviction and up to

$700 on each conviction after that.

In Louisiana when you buy a new auto insurance policy, the insurance company may cancel it within 60 days.

If it is canceled for nonpayment of premium during that time, the company must give you a 10-day notice. If it

is canceled for any other reason, such as a traffic violation or an at-fault accident, a 20-day notice is

required.

A company cannot cancel your auto insurance policy if it has been in force for more than 60 days or is a

renewal unless:

--You fail to pay your premium.

--You file a fraudulent claim.

--You or a member of your household has a drivers license or motor vehicle registration suspended during the policy period.

After the 60-day period, if a company cancels your policy because you fail to pay a premium, it must give you

a 10-day notice in writing.

For any other reason, you must be given a 30-day notice in writing by certified mail. If your insurance

company decides not to renew your policy, it must provide you with notice 20 days prior to the policy's

ending date. Your company is required to give you the reason for cancellation or non-renewal if you request

it in writing. Within 30 days of cancellation, the company must refund all unused premiums that did not pay

for coverage.

 Note: State Car Insurance regulations can change. Please check with your state's Motor Vehicle Department for current laws.