5/30/08

Pennsylvania Car Insurance: For Residents

Pennsylvania has insurance requirements uniquely its own for its residents, and consumers can find information pertaining to specific state requirements from the Pennsylvania Insurance Department located in Philadelphia, Harrisburg and Pittsburgh by calling (877) 881-6388 or by visiting their website at http://www.ins.state.pa.us/ins/site/default.asp.

Pennsylvania is one of the United States largest no fault states. What this means is that in the event of an accident each individual will be covered by their own insurance company, regardless of which driver was responsible for the accident. This was intended to cut back on the number of lawsuits brought forth against other drivers each year. No fault does have its exceptions, however. In the event that an injury is severe enough to lead to excessive medical expenses and severe consequences the state will allow the victim to seek recompense from the individual responsible for their accident. For this reason all vehicles registered in PA are required to be covered by a liability policy. Liability will pay for at least a portion of the damages suffered by the victim’s person and their vehicle. For Pennsylvania the minimum limits are fifteen thousand dollars for the medical expenses of a single driver, thirty thousand dollars for the combined medical expenses of all of the individuals in a vehicle and five thousand for any property damages, including necessary repairs to the vehicle of the victim.


While it is not required it is suggested that all drivers purchase more than the minimum liability policy, as well as a comprehensive and collision policy. Comprehensive and collision will pay for the damages suffered by the vehicle of the driver responsible for the accident; without comprehensive and collision coverage the driver is left solely responsible for paying for their own repairs. This will also allow for recompense in the event that a vehicle must be totaled in the amount of the blue book value of the vehicle. For those cars that are still under lien comprehensive insurance may in fact be required, and be accompanied by gap insurance. Gap insurance is an option for those individuals whose cars are valued at a lesser amount than the balance of their lien, and will help provide the difference.

Uninsured motorist insurance is also strongly recommended for Pennsylvania residents due to the fact that its neighbor to the north, New York, does not require its drivers to purchase liability insurance. This means that at any given point in time a driver without liability could be traveling PA roads, and if they are involved in an accident for which they are responsible the other driver will be forced to take them to court and attempt to pull the damages from their personal assets (assuming the accident is ruled an exception to the no fault policy). Uninsured motorist insurance will help pay for some of the damages suffered by their vehicle, as well as the medical expenses and pain and suffering of the insured.

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