Fayetteville Car Insurance
Fayetteville is a highly populous area that just missed earning the title of being North Carolina's capital city by 1 vote.
Even though it's not the capital, Fayetteville is a highly developed city that's showing a lot of promise for the future with a growing economy, low unemployment rates, and military employment opportunities.
If you're planning on making the move to the largest Fayetteville in the country, it's important to brush up on different rules and laws that you might not be familiar with.
It's nice to know that it's illegal to sing off-key and that stealing $1000 worth of grease is a felony in NC, it's definitely more useful to learn about insurance laws before you officially settle in.
Read this article to find what you need to know about Fayetteville insurance laws, and then enter your zip code above to find competitive car insurance rates in Fayetteville!
Is auto insurance required?
If you're a resident in Fayetteville for more than 6 months out of the year, you're legally required to register your car in the state of North Carolina. You must have valid license plates at all times to operate your vehicle on public roads.
Another law that goes hand-in-hand with the registration law is the motor vehicle law.
All vehicles that are registered in North Carolina must have a minimum amount of auto insurance. Vehicle owners are liable for maintaining continuous coverage on their vehicles and may be fined or face non-monetary penalties for disobeying the law.
Since insurance is required by law in NC, it's required by law in all cities including Fayetteville.
What type of third-party auto insurance is required by law?
You don't legally have to carry a broad form full coverage policy to satisfy the law but basic coverages are required.
Like a majority of states in the U.S., North Carolina officials have created a tort auto insurance system where people who cause accidents are expected to pay for the damages. Since it's the at-fault party's liability, everyone in the state must carry liability insurance.
Liability auto insurance consists of two different components: Bodily Injury and Property Damage.
Bodily Injury pays for only third-party like medical bills, funeral costs, rehabilitation, lost income and pain and suffering settlements. Property Damage pays for third-party damages to repair a vehicle or other damaged property after a collision.
Is any type of first-party coverage required?
Not all states require their residents to protect themselves under their insurance policy.
Even though third-party requirements are most common, some officials see the need for Uninsured Motorist Coverage requirements. In North Carolina, you're required under state law to carry at least a minimum amount of Uninsured Motorist Protection.
Uninsured Motorist Protection is a means that helps you recover money to cover the damages that you've sustained if you have an accident with an uninsured driver or a driver with low limits of liability.
If your policy was issued before 2009, you may be eligible to reject the coverage. If not, it's mandatory and must be added to the policy.
How much coverage is mandatory?
A basic auto insurance policy is one that includes only the coverage that's required under state law.
Since there are mandatory coverage minimums, the lowest level of protection that you can have is a policy with basic coverage. Here are the minimum coverage requirements in North Carolina:
- Bodily Injury - $30,000 per person, $60,000 per accident
- Property Damage - $25,000 per occurrence
- Uninsured/Underinsured Motorist - $30,000 per person, up to $60,000 per accident
Is there any other type of protection under a basic policy?
It's not something that's discussed very often, but even basic policies include supplementary payments that help you recover from a loss in certain scenarios. If you don't know that these payments exist, you could be missing out on benefits that you carry and pay premiums for.
Here's a list of supplementary payments found on basic policies:
- Bail bonds after an arrest because of an auto accident
- Premiums for appeal bonds
- Expenses for emergency aid given to others at the scene of the accident
- Costs for taxes after a judgment
- Loss of earnings if you must attend a trial because the insurer asks you to
- Other expenses incurred at the insurer's request
Do you have to carry physical damage coverage?
Many vehicle owners are so used to carrying full coverage on their car that they think it's required by law.
While it's required under a lending agreement, it's not required under state law. As long as there's a loan on your car you'll need both comprehensive and collision coverage to satisfy the terms of your law.
If you've paid the car off and you hold the title in hand, you aren't obligated to have coverage for damages to your car. With this being said, it's something to consider if your car holds any type of value and if you can't reasonably pay for repairs that you need by yourself.
How much does collision insurance cost?
Anyone who has a high-risk driving record or little experience behind the wheel should expect their rates for collision insurance to be high. That's because their likelihood of getting into a crash is higher than the average person.
If you're looking at average premiums for collision, you can see if your rates for collision are high when you get quotes for full coverage.
Based on the latest reports for auto insurance expenditures, the average cost for collision for one year in North Carolina is $263.06. If your quotes are substantially higher, reconsider.
How much does comprehensive coverage cost?
If you decide not to carry collision, you still have the option to carry comprehensive.
Comprehensive is a parked car coverage that typically pays while your vehicle is stationary. It covers losses caused by theft, vandalism, missiles, explosion, riot, flood, and hail to name a few.
Since comprehensive claims usually don't involve fault, the cost to add the coverage to your policy is much more affordable than you'd expect.
In fact, the average cost to add comprehensive to your policy for a year is around $120. This is less than half of the cost for collision. Premiums will be higher for cars that are stolen often.
How likely are you to have a vandalism or vehicle theft claim?
Since the average premium for comprehensive coverage is only about $10 per month, it's an expense that's manageable. To make a final decision it can help to look at crime rates in your area.
In Fayetteville, 2522 burglaries and 7495 thefts reported in 2015. Based on the numbers and the population, the risk in Fayetteville is higher than the US average.
Do you really need high limits for Uninsured Motorist Protection?
Since Fayetteville is home to a lot of service members who're stationed at Fort Bragg it's very difficult to keep up with the rate of uninsured motorist in the city.
Based on state statistics, about 9.1 percent of North Carolina drivers don't have insurance.
The statistics in a military town like Fayetteville may be a bit skewed. That's why it's important to consider raising your limits to protect yourself against all of the out-of-state drivers who may or may not have active insurance.
You can raise your UM limits up to the limit that you carry for Bodily Injury.
What's the penalty for being uninsured in North Carolina?
Driving without insurance is no joke. In the blink of an eye, you can accidentally injure someone or total their car. If you don't have coverage, that changes their life and your financial future. That's why state officials have strict laws when it comes to uninsured drivers.
Here are some of the penalties enforced in North Carolina:
- Class 1 Misdemeanor conviction with a fine of $50
- Probation for misdemeanor for up to 45 days
- Suspension of registration for 30 days
- Restoration of registration fee for $50
- Fine of $100 for second offense
- Imprisonment for up to 45 days for second offense
- Fine of $150 for third offense
Do you need insurance if you don't own a vehicle?
You aren't legally obligated to carry insurance when you don't have a car registered in your name.
Even though it's not a legal requirement, you do need to consider a non-owners liability insurance policy if you borrow cars or you drive rental cars on a regular basis. It's very affordable and can help you get an insurance history.
Now's the time to get quotes for your auto insurance. You can use your Fayetteville zip code in an online comparison shopping tool and see how much the local carriers charge. Once you've done this, you'll be equipped with the knowledge that you need to buy a low-priced plan from a highly reputable company.