February 19, 2012
/24-7PressRelease/ -- Uninsured drivers in Arizona could soon lose their cars if a new law is ratified by the Arizona legislature. Lawmakers will consider a new provision (House Bill 2031) that will allow the police to impound a vehicle if it is found that the driver has no insurance, or does not have sufficient insurance under Arizona law. The bill's sponsor, Representative John Kavanaugh (R-Fountain Hills), believes that uninsured drivers contribute to higher insurance costs and that it is unfair that such drivers do not share the financial burden of having proper coverage.
Arizona's Requirements for Motorist Insurance
Arizona law requires all drivers to have insurance on their vehicles. The minimum amount required is $15,000 for one person injured in a
motor vehicle accident, $30,000 per accident for bodily injury, and $10,000 for property damage. This is commonly known as 15/30/10 insurance. A driver who does not have insurance coverage is considered uninsured. A driver who has less coverage than required by law is considered underinsured.
The number of uninsured drivers has increased in recent years. According to the Insurance Research Council (IRC), it is estimated that 12 percent of Arizona drivers do not have insurance. The IRC attributes the trend to the economic downturn. As more people experienced financial problems, paying for insurance became less of a priority behind mortgage or car payments.
Policy Reasons Behind H.B. 2031
Representative Kavanaugh hopes to reduce the number of illegal immigrants on Arizona roads. He explained to KTAR radio that "a large percentage of illegal immigrants drive uninsured vehicles", and that "the experience in other cities that have this type of policy is that it is also a deterrent for illegal immigration because they begin losing their cars and leave the city."
Why UM/UIM Insurance is important
Because of the number of uninsured (and underinsured) drivers, many insurers offer "hit-and-run insurance", coverage that will compensate you in the event you are involved in an accident with someone who does not have insurance. This type of insurance will also cover you if the other driver's insurance coverage is not enough to cover your damages.
Uninsured (UM) and underinsured (UIM) motorist protection is relatively inexpensive coverage, especially considering the amount of protection it offers. If someone causes an accident and is legally responsible for the damages, you won't get any money from them if they don't have money to give you. This is especially important in hit-and-run accidents, where the offending driver leaves the scene and must be found first.
Meanwhile, you are still responsible for paying your medical bills and making up for lost wages if your injuries prevent you from working. UM/UIM insurance can also cover the damage to your car, protect injured passengers, and even provide compensation for pain and suffering.
Why H.B. 2031 May Not Work
It remains to be seen whether this approach will have a legitimate effect on illegal immigrants, since it does not address several problems related to hit-and-run accidents. First, Arizona already has statutes prohibiting drivers from operating motor vehicles without being properly insured and a separate law to impound an uninsured vehicle is not likely to prevent
car accidents.
Second, most drivers who leave the scene of an accident are driving illegally anyway (whether they do not have insurance or a proper driver's license). As such, threatening to take cars off the road because of insurance deficiencies is not likely to ensure compliance with the law.
Third, many insurers offer uninsured (and underinsured) motorist coverage, and Arizona law requires customers to sign a waiver if they reject such coverage. Further, the costs of accident injuries often exceed the coverage provided by minimum liability policies, so the punishment for not having insurance can greatly outweigh the benefit of having such coverage.
The Future of H.B. 2031
The bill will be debated (and voted upon) in subcommittees before it is introduced to the House of Representatives. Based on Mr. Kavanaugh's concerns, the bill appears to be a misguided attempt to protect victims of hit-and-run accidents. Perhaps requiring drivers to carry uninsured or underinsured coverage may be appropriate. Legislators could also consider price caps on such insurance to make it more affordable for Arizona drivers.
If you have been involved in a hit-and-run accident, or been injured by an uninsured driver, an experienced personal injury attorney can help you obtain compensation by exploring the available legal options.
Article provided by Law Offices Of Jay A. Bansal
Visit us at
www.jaybansallaw.com---
Press release service and press release distribution provided by http://www.24-7pressrelease.com# # #
Read more Press Releases from FL Web Advantage:
