When you apply for vehicle registration in Philadelphia, you are required to acknowledge on a document produced by the Department of Transportation that you know you may forfeit your vehicle driving privilege or automobile registrations if you do not to sustain financial responsibility on your presently registered vehicle for the timeframe of registration. Underinsured and uninsured motorist coverage in Pennsylvania is voluntary for all qualified motorists.
State law mandates all licensed motorists have liability insurance so that they can lawfully operate a car. The truth is most motorist do not obey this law. About 15 percent of motorist navigating the streets today do not have liability insurance. These drivers are known as uninsured motorists. Other drivers comply with the law, but will only carry the minimum liability coverage that is required by the state. This minimum coverage is often not enough to cover the medical bills or property damage costs that are incurred in an accident. Insurance companies refer to these drivers as underinsured motorists.
According to Pennsylvania State law, an uninsured motor vehicle is any of the following:
1. A motor vehicle for which there is no liability insurance or self-insurance applicable at the time of the accident.
2. A motor vehicle for which the insurance company denies coverage or the insurance company is or becomes involved in insolvency proceedings in any jurisdiction.
3. An unknown automobile that causes an accident causing injury provided the accident is conveyed to a law enforcement agency or correct administrative authority and the claimant informs his insurance company within 30 days, or as soon as feasible afterwards, that the claimant or his legal advocate has a lawful action arising out of the accident.
Insurance companies provide uninsured and underinsured insurance to safeguard their customers in case of an accident. This coverage will cover the financial costs sustained by victims, when the at-fault motorist either does not have protection or does not have sufficient liability insurance to cover the expenses assessed. It will also cover medical costs from a hit-and-run accident. If you operate a motor vehicle, contact an insurance company sto make sure your Vehicle Registration in Philadelphia is in compliance with local requirements.
