Kentucky Auto Insurance Guide

Whether you’re taking heading for Mammoth Caves National Park, the Kentucky Horse Park in Lexington or the National Corvette Museum in Bowling Green, the Bluegrass State has about 27,000 miles of highways, interstates and parkways. From Paducah to Ashland, Louisville to Cumberland, sightseeing or commuting, car insurance is crucial to being a responsible Kentucky driver.

 

Auto Insurance Resources for KY State Residents

There are 2.8 million licensed drivers in the Bluegrass State in 2010. The Insurance Research Council estimates that 16% of Kentucky’s drivers are uninsured. In 2008, the National Highway Traffic Safety Administration reported 826 automobile accident fatalities; 200 (24%) were attributed to alcohol. Uninsured and alcohol-impaired drivers are both good reasons for you to make certain you have the adequate car insurance while living and driving in the Bluegrass State.

 

Kentucky State Minimum Car Insurance

Kentucky state law requires that you carry a minimum amount of car insurance or face severe penalties. However Kentucky automobile insurance laws are somewhat different. Unlike most states, Kentucky is a choice no-fault state. That means you can decline to carry Personal Injury Protection (PIP) coverage and retain your right to sue under the traditional tort system. If you elect to go with no-fault coverage. While Kentucky does not require that you carry Uninsured/Underinsured Motorist Coverage, Collision and Comprehensive or personal liability insurance in excess of the minimums, if you own property or other valuable assets, you would be wise to supplement the minimum requirements shown below.

• $25,000 bodily injury per person per accident
• $50,000 bodily injury for all persons per accident
• $10,000 property damage liability
• $10,000 personal injury protection

 

Kentucky Car Insurance Laws

Kentucky requires that you carry proof of Kentucky auto insurance in your vehicle and produce it if a law enforcement officer asks to see it. First offenders who are caught without Kentucky car insurance must appear in court and may be fined from $500 to $1,000. The sentence may also include up to 90 days in jail. Your registration can be revoked and driver’s license suspended for up to 1 year or until you can show proof of insurance. Second and subsequent offenses within 5 years carry fines of $1,000 to $2,500 per offense, jail time up to 180 days, and you may have to pay court costs.

If you are involved in an accident without minimum Kentucky auto insurance, you’re looking at potential jail time and will be charged with “No Insurance,” which means you’re responsible for the first $10,000 of your own medical bills and lost wages, regardless of the no-fault laws. You may also be sued for restitution by the injured party to cover any of their out-of-pocket costs such as deductibles.

 

Regulating Agency and References

Kentucky Department of Insurance
This agency is responsible for regulating vehicle insurance policies sold in the Bluegrass State. For more information, visit their website at http://insurance.ky.gov

Kentucky Transportation Department/Division of Motor Vehicle Licensing
This agency is responsible for licensing drivers and registering vehicles. You can learn more about Kentucky auto insurance requirements, penalties and related information at http://transportation.ky.gov/mvl/

National Association of Insurance Commissioners (NAIC)
This is an organization of insurance regulators from the 50 states, District of Columbia and the five U.S. territories. NAIC provides a forum for the development of uniform policies when appropriate. NAIC members are elected or appointed state government officials who regulate the conduct of insurance companies and agents in their respective states or territories. Visit NAIC at http://www.naic.org

Insurance Information Institute (III)
This organization’s mission is to improve public understanding of insurance – what it is and how it works. Visit III at http://www.iii.org/

 

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