North Carolina motor vehicle law requires that motor liability coverage be maintained on an ongoing basis. Liability insurance protects drivers and their families against injuries and property damage caused by the negligence of other drivers who might have limited, minimal, or no liability insurance. To avoid penalties and fees, a person should not cancel their insurance until they have handed in their license plate to the N, C. A person who has established permanent residence outside North Carolina should not rescind their North Carolina insurance policy until they have handed over their North Carolina license plate to the NCDMV.
Failure to do so could result in a civil penalty. If the license plate is lost or stolen, you must complete an MVR-18A form. NCDMV Customer Service (91) 715-7000 Send messages Postal Addresses Find contact information for NCDOT employees, local offices and more. Drivers who don't meet North Carolina's minimum auto insurance requirements will face penalties, fines, suspensions, or jail terms.
For more information, see WalletHub's guides on how much car insurance you need and affordable car insurance in North Carolina. Learn more about when you might need a car accident lawyer and what to expect from your first meeting with a car accident lawyer. MedPay is similar to PIP insurance in that they both manage your medical bills, even if you cause a car accident. North Carolina requires that all auto insurance policies sold in the state include both bodily injury coverage for uninsured motorists and property damage insurance for uninsured motorists.
Drivers should also consider taking out other types of auto insurance to better protect themselves, since liability insurance does not cover the injuries or property of the policyholder. If you've been involved in a car accident in North Carolina and need help with the insurance claim process, it might make sense to discuss your situation (and your options) with a legal professional. North Carolina requires vehicle owners to demonstrate that they have sufficient liability insurance before vehicle license plates are issued. If North Carolina drivers don't purchase at least the minimum amounts of auto insurance coverage required by North Carolina law, they may face penalties for driving without insurance.
In other words, the person who was at fault for causing the car accident is responsible for compensating anyone who suffered harm as a result of the accident (although from a practical point of view, it is usually the at-fault driver's insurance company that covers these losses, up to the limits of the policy). For example, both collision insurance and comprehensive insurance cover damage to the policyholder's car. Instead of PIP insurance, North Carolina insurance companies offer medical payments insurance (sometimes called MedPay), which helps with hospital bills stemming from a car accident. However, driving alone with liability insurance can result in costly bills for your own property or injuries, which are not covered by exclusive liability insurance.
The term “liability only” auto insurance is used to distinguish policies with basic coverage from those that have collision insurance and comprehensive coverage. Liability insurance is car insurance that covers damage or injury to a third party's property in the event of an accident. For tips on whether liability insurance alone is sufficient for your situation, check out WalletHub's guide to how much car insurance you can take out.