Quote:
Originally Posted by raymor
A) Insuring your car isn't mandatory. You can choose not to insure your car. You're thinking of LIABILTY coverage, which covers the victim if I run you over. Liability coverage, protecting you from me, is also not mandatory. I can choose to risk MY health. That's different from me choosing to risk YOUR health.
b) Liabilty coverage is not mandatory. Only IF I decide to put you at risk with my driving, I need to show that I can be responsible for any accidents I cause. I can choose to do that using insurance, proof of sufficient assets, a cash bond, or other ways. I just have to prove that I can take care of any accidents I cause, or I can choose to take the subway instead.
c) STATES have the constitutional authority to have me sure proof of financial responsibility if I want them to give me a license. The court agreed today that under tne enumerated powers it's unconsititutional for the FEDS to require you to buy insurance for yourself. The constitution doesn't give them that power. (But the court allowed them to skirt the constitition by calling it a tax.)
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This is only technically correct, but not very accurate.
You can self-insure your car, but in order to do so you have to go to deposit cash into securities in the amount equal to the state you live in's minimum liability coverage requirements. Once you have done so the DMV will give you a letter that explains you are self-insured and if their is a claim against you the money can come from the deposited amount.
So while actually owning auto insurance isn't mandatory having proof that you meet the minimum coverage liabilities is.
I believe all states require that you carry proof of this minimum liability coverage on you or they can fine you and possibly even tow your car.