Nevada Car Insurance

nevada car insurance 1

Driver’s in the Silver State should know

The state of Nevada obliges all of its drivers to have insurance to comply with the state’s financial responsibility laws. Such laws help protect all Nevada drivers on the road by making sure that they can pay for the damages caused in at-fault accidents. Presently, only Nevada requires the basic liability insurance.

Mandatory Coverage

The Nevada law orders that all drivers need to have at least the legal minimum in coverage for liability. Such insurance will pay for death, damages, and injuries in an accident. Nevada’s legal minimum is:

  • $20,000 for property damage in order to pay for the damage to another individual’s vehicle or other property damaged in the accident.
  • $25,000 per individual for bodily injury as well as $50,000 per incident in order to pay for all the parties injured in an accident.

Although these are the legal minimums, some drivers choose to carry the higher limits because of the high price of car accidents, especially serious ones. Additional to the higher liability limits, other options are also available that drivers may choose in order to provide financial protection.

Optional Coverage

Drivers in Nevada may create a comprehensive policy by choosing from a list of possible features that are available from insurers in Nevada.

The most common choices include:

  • Rental Reimbursement: This pays for the use of rental cars during a covered claim.
  • Labor and Towing: This pays for towing and roadside assistance that needs in non-accident situations.
  • Underinsured and Uninsured Motorist: This pays for the damages that are caused by another driver who is either underinsured or uninsured— meaning that their limits are not that high enough in order to cover all damages.
  • Comprehensive: This offers coverage for non-accident damages like those that are caused by fire, weather, vandalism, and theft. In general, this coverage also has a glass-only benefit in order to repair chipped, cracked or broken auto glass.
  • Collision: This one pays for the damages to your vehicle in the event where you are found guilty in an accident.

Insurance companies may also offer different other options and/or add-ons in order to complete your vehicle insurance policy as well as adding extra coverage and value.

Proof of Insurance Laws & Penalties

Drivers in Nevada are required to provide proof of insurance when requested by a law enforcement at the scene of an accident or during a traffic stop. Failure to do so can result in penalties.

The state of Nevada uses electronic systems in order to make sure that all vehicles on the state’s road are insured properly. Drivers need to provide insurance data and information to the DMV which can be changed or updated online.

In case the liability insurance is canceled or there are lapses on a vehicle, Nevada state order that the license plates be surrendered. The registration will then be immediately suspended and the owner will be sent a verification request via mail. Fail to respond to the request within 15 days will result in a mailing of a certified letter, in which you will need to respond within 10 days. Failure to do so will incur penalties.

Penalties of Nevada for insurance lapses are established on a tiered system of increasing penalties and fees based on how long does the insurance has been lapsed for as well as the number of lapses that the same driver had.

1st Offense

  • A reinstatement fee of $251
  • After 30 days, an additional fine of $251 will be added
  • After 90 days, the fine goes up to $501 and a requirement for SR-22
  • After 180 days, the fine goes up to $1001 and a requirement for SR-22

2nd Offense

  • A reinstatement fee of $501
  • After 30 days, an additional fine of $501 will be added
  • After 90 days, the fine stays the same and only requires an SR-22
  • After 180 days, the fine goes up to $1001 and a requirement for SR-22

3rd Offense

  • An SR-22 will be immediately required and the driver’s license will be suspended for 30 days.
  • A reinstatement fee of $751
  • After 30 days, an additional fine of $501 will be added
  • After 90 days, the fine goes up to $751
  • After 180 days, the fine goes up to $1001

In addition, if the registration of a driver is suspended and has been caught driving, the vehicle will be impounded and the license plate will be confiscated.

High-Risk Drivers

Some Nevada drivers might be considered high-risk as a consequence of accidents and tickets on their driving records. Consequently, insurance companies might increase their rates or even refuse coverage to such drivers.

Fortunately, the state participates in an assigned risk program where high-risk drivers may obtain an insurance that they need in order to drive legally. The system assigns every driver to a certain insurance company that is required to give them a policy. And although insurance companies are required to provide insurance, they still have the choice to charge higher rates to Nevada high-risk drivers.

Teen Drivers

Teen drivers in the state need to go through a leveled graduated licensing program to reach a full driver’s license. Every stage has particular restrictions and rules which must be followed until the teen can pass to the next level.

Instruction Permit

This is available at 15 and a half years old and allows the teens in Nevada to drive while they are supervised during the first stages of learning. In order to be eligible for a permit, teens need to be enrolled in school and pass the written knowledge test.

Restricted Driver’s License

Teen drivers at 16 years old may apply for restricted licenses as long as they met the following requirements:

  • Be enrolled in a school
  • Held a permit for 6 months
  • Completed at least 50 hours of driving practice with at least 10 hours after dark
  • Passed an approved driver education course

Drivers with a restricted license need to follow these rules:

  • Nevada drivers under 18 of age may not drive between 10 pm and 5 am unless for an approved school or work purpose.
  • No passengers under 18 are permitted unless they are an immediate family member for the first 6 months.

Full License

All teen drivers at 18 years of age will graduate from the restrictions and will have a full driving license.

Regardless of restriction levels, all teen drivers will need to obey the financial responsibility laws. Moreover, teens may be covered under the vehicle insurance policy of a guardian or a parent even when away at school until they can establish their own residence.