Almost all states in the USA have already implemented a mandatory system of indemnity coverage – that is, all car owners and drivers must get insurance from a reputable company. Otherwise, they will be facing dire consequences, such as license revocation, suspension, fines, penalties and forfeitures.
However, despite application by Oxford lawmakers of this system, there are varying views and comments from both resident and tourist car owners as well as drivers. Here is the good, the bad and the ugly sides of car insurance.
First, we have the good. In other states, this mandatory system may be a harsh one. However, actually, this is the good side of the law in Oxford, Alabama. It’s because not a lot of people would really want to spend a few extra hundred dollars for a contract. Not all people would think that far into the future and foresee possibilities of getting into a bad car accident. By making it a requirement instead of an option, vehicle owners are practically forced to protect themselves. In a simple place like Oxford, there is more need for residents to get secured because yearly, thousands of tourists flock this area, giving a higher risk factor for themselves and people living here.
Second, we have the bad. Insurance laws require every person who owns an automobile to get coverage, regardless of type of vehicle or economic status. So, it follows that not every citizen can afford insurance. If you take it a bit further, not all owners will be able to register their automobiles. Only a few will be able to get licenses, which will be a huge drawback for Oxford. In addition, since there are more companies now operating, there is a bigger chance for fraud. Clients have to be extra careful not to be duped by them.
Finally, the ugly side of Oxford car insurance. The problem gets ugly when a conflict arises between insured and insurer. You can relate this to the fact or reality that not all people can afford insurance. If they are not able to pay premium rates on time, they will not get anything when an accident or vehicle mishap occurs. This will end in more problems for the client. The provider is not affected that much.
Indeed, with change come some problems. Oxford residents will have to take better care and diligence in selecting a good provider, and making a few adjustments for them to be able to pay off the premiums. After all, it is always best to stay secured.