Georgia Auto Insurance: Understanding The Requirements And Options

Yes, drivers in Georgia are required by law to have a certain amount of car insurance coverage. This includes liability insurance, which covers any claims for damages asserted against the at-fault driver. The minimum amount of coverage required is $25,000 for bodily injury or death of one person, $50,000 per accident if more than one person is injured or killed, and $25,000 of property damage coverage. These minimum limits are intended to provide a basic level of protection for those involved in car accidents.

Minimum liability insurance coverage

In Georgia, drivers must have liability insurance that meets the minimum limits required by law to drive on the state's public roads and highways. This insurance helps pay for damages to others if the insured driver is ruled at fault in an accident. The minimum limits of liability insurance required under Georgia law are:

• Bodily Injury Liability – $25,000 per person and $50,000 per incident. This covers any medical bills or funeral expenses associated with a car accident where the insured driver is at fault.
• Property Damage Liability – $25,000 per incident. This covers damages inflicted on the property of another in an at-fault accident.

While Georgia law sets out minimum liability coverage requirements, drivers can purchase more coverage if they choose. Liability insurance limits are often written out as three separate numbers, 25/50/25, which is known as a split limit. These limits can be increased for a relatively low additional premium, which is strongly suggested as the minimum coverage could leave drivers at risk.

Proof of insurance

The minimum auto insurance limits for the state of Georgia are:

• $25,000 for bodily injury per person
• $50,000 for bodily injury per accident
• $25,000 for property damage per accident

Liability insurance coverage is the only insurance coverage required in Georgia. It pays for property damage or bodily injuries incurred from an accident that the policyholder causes. It's important to note that liability insurance never pays for the policyholder's injuries or damages to their own property.

In addition to the basic liability package, collision and comprehensive coverages are commonly recognised. Collision coverage pays for physical damage to your car as a result of colliding with an object such as a tree or another car. Comprehensive coverage pays for damage to your car from other causes, including fire, severe weather, vandalism, floods, and theft.

You can obtain proof of insurance from your insurer right after purchasing a policy. They will provide you with an insurance ID card that contains the following information:

• Name and address of the insurance company
• Effective date and expiration date
• First and last name of the "named insured"
• Your car's make and model, year, and VIN for the insured vehicle(s)

Optional physical damage insurance

In the state of Georgia, physical damage insurance is optional. This type of insurance helps pay for loss or damage to your own vehicle. There are two types of physical damage insurance: comprehensive and collision. Comprehensive insurance, also called "other than collision coverage," covers theft, vandalism, and fire-related losses. Collision insurance covers losses associated with vehicle collisions.

While Georgia state law does not require you to purchase physical damage coverage, lenders or leasing companies usually require it if you financed or leased your vehicle. As a policyholder, you are allowed to file a claim under your own Physical Damage coverage even if someone else caused the accident.

It is important to note that liability insurance, which is mandatory in Georgia, only covers injuries or property damage that you cause to others. It does not cover injuries or damages to your own property. Therefore, if you want to have your own vehicle covered, you may want to consider adding physical damage insurance as optional coverage.

The cost of physical damage insurance can vary depending on factors such as the make and model of your vehicle, your driving record, and the deductible you choose. It is recommended to shop around and compare quotes from different insurance companies to find the best rate.

Uninsured motorist insurance

Georgia requires all drivers to have liability insurance to drive. However, not all drivers follow the law, and some may unknowingly allow their coverage to lapse or cancel. These drivers are considered "uninsured". If an uninsured driver causes an accident that damages your vehicle or injures you or your passengers, uninsured motorist insurance would protect you.

Uninsured motorist coverage is not legally required in Georgia, but it is a vital protection to have due to high accident rates and the large number of uninsured drivers in the South. According to data from 2019, around 12.4% of drivers in Georgia do not have auto insurance. That means more than one in ten drivers on the road is uninsured.

Uninsured motorist coverage can help protect Georgia drivers in a number of circumstances, beyond simply being in an accident with someone who does not carry insurance. For example, if you are in an accident with an uninsured driver, there would typically be no liability insurance from which to recover damages. If you have uninsured motorist coverage, your insurance will pay for your medical bills and vehicle repairs.

There are two types of uninsured motorist coverage:

• Bodily injury: This can cover medical expenses, pain and suffering, and lost wages for you and your passengers.
• Property damage: This covers damages to your vehicle, but may also cover your house, fence, and personal items (e.g. cell phone, laptop).

In Georgia, insurers must offer at least $25,000 in bodily injury to one person, $50,000 in bodily injury per accident, and $25,000 in property damage per accident. Drivers may be able to choose higher coverage amounts.

Penalties for driving without insurance

Driving without insurance in Georgia is considered a serious misdemeanour and can result in various penalties, including fines, jail time, and suspension of driving privileges. Here is an overview of the penalties for driving without insurance in Georgia:

First Offence

For a first-time offender, the penalties include a fine of up to $185, a $25 lapse fee, and a $60 reinstatement fee. The driver's license and registration will be suspended for 60 days, and they may be required to provide an SR-22 certificate to prove they have obtained the necessary insurance coverage. The driver must also obtain a six-month insurance policy that meets the state's minimum requirements. Failure to provide proof of insurance within 30 days will result in a Notice of Pending Suspension, leading to further consequences.

Second Offence

For a second offence within five years, the penalties increase. The driver's license and registration will be suspended for 90 days, and they will need to pay a $25 lapse fee and a $60 reinstatement fee. Additionally, they must provide proof of a six-month minimum insurance policy to regain their driving privileges. A second offence can also result in up to one year of jail time, depending on the circumstances.

Third and Subsequent Offences

For a third offence within five years, the penalties become more severe. The driver's license and registration will be suspended for six months, and they must pay a $25 lapse fee and a $160 reinstatement fee. The driver must also provide proof of insurance coverage for six months. Repeat offenders may face permanent suspension of their licenses and may be required to file an SR-22 form for an extended period, leading to higher insurance rates.

Other Consequences

Driving without insurance in Georgia can have other significant consequences. It is considered a criminal offence, and convicted individuals may face up to 12 months in jail and fines ranging from $200 to $1,000. Additionally, individuals may lose their driving privileges for at least 60 days up to 90 days. Driving without insurance also results in higher insurance rates, as insurance companies classify these drivers as high-risk. Furthermore, if an uninsured driver causes an accident, they will be responsible for all the financial consequences, including medical bills, property damage, and legal fees.

Frequently asked questions