Lousiana Car Insurance

You might live in the state that is home to “The Big Easy,” but that doesn’t mean that this laid back attitude applies to everything – especially when it comes to Louisiana car insurance requirements.

All Louisiana drivers are required to have liability car insurance and carry proof while they are on the road. If you fail to obtain, maintain or show proof of car insurance, Louisiana penalties include citations, fines and license and registration suspensions. Be sure you know the rules and restrictions of the Bayou State before you get on the road.

In order to legally drive in the state, Louisiana drivers must have the following coverage limits:

• Bodily injury liability coverage with a minimum of $15,000 per person and $30,000 per accident
• Property damage liability coverage with a minimum of $25,000

If you knowingly drive without insurance in the state of Louisiana you may be forced to pay fines ranging from $500 to $1,000. You can also be penalized for failing to provide proof of insurance or for letting your coverage lapse. You also run the risk of having your license and registration suspended.

Louisiana has also enacted “No Pay, No Play” laws, which means if you are an uninsured driver who is involved in an accident you are prohibited from collecting the first $25,000 in property damage and the first $15,000 in bodily injury coverage – regardless of who caused the accident.

Whether you are new to the Bayou State or you are purchasing auto insurance for the first time, you might find that Louisiana car insurance rates are higher in comparison to national averages. There are a number of factors that determine auto insurance premiums such as your age, gender, vehicle, driving record, etc. But one important factor is location. Some of the reasons that Louisiana car insurance rates are higher include:

• Louisiana is densely populated, which means more drivers on the road and therefore more accidents.
• Claims and lawsuits. Louisiana drivers make more bodily injury claims compared to drivers in other states. Many drivers are also underinsured, which means the state has more lawsuits from auto accidents to pay for outstanding damage and medical bills.
• Uninsured drivers. The number of uninsured drivers in Louisiana exceeds national averages.
• Insurance rates are higher in Louisiana as it is prone to hurricanes and tropical storms.

While Louisiana car insurance can be pricey, the cost of driving without insurance can be much greater. Even if you are the safest driver you cannot predict other drivers on the road and you will not be covered if an uninsured driver hits you.