Louisiana Auto Insurance Basics


Louisiana is one of the southernmost states of the United States. It is the thirty first largest state by area. It is the twenty fifth largest state by population. The interesting fact about Louisiana is that the state is not divided into counties like the other states. Louisiana is divided into parishes, similar to counties.

The parish with the largest population is Jefferson and the largest parish by area is Cameron Parish. The common languages spoken here are French and English. For long, this state was a French and Spanish Colony. Every state in the United States of America writes its own code of the law. Each of these laws is meant to safeguard and protect the citizens of the state. They must not be broken or violated at any time. Anybody if found violating the laws will be penalised according to the severity of their offense.

Laws for motor vehicles and motorists are very stringent and must not be broken. The state of Louisiana has made auto insurance mandatory. Any driver or motorist, found driving, must be able to provide proof of insurance. This is to ensure that the driver or the motorist has enough finances to pay for any damages caused if he is involved in an accident. The state of Louisiana follows the Tort system of rules and regulations. According to this system, in case of an accident, a person has to be found responsible for the accident. This person is then liable to pay for all the damages caused due to the accident. The state has also fixed the minimum liability for insurance to ensure that a person can pay for damages.

The minimum liability in the state of Louisiana is for the amount of ten thousand dollars for bodily injury per person and twenty thousand dollars for bodily injury for all the people in the accident in total and ten thousand dollars for property damage. Bodily injury liability pays for any medical costs that the person might incur while undergoing treatment for his injuries. It will also cover any lost wages.

Property damage covers any damage to properties including buildings, lamp posts, fences and even cars. It should cover any repair and replacement costs. The minimum liability in the state of Louisiana is set to change from the first of January, 2010. The new minimum liability will be fifteen thousand per person for bodily injuries, thirty thousand in total for bodily injuries and twenty five thousand dollars for property damage.

The other types of policy include uninsured motorists’ coverage and underinsured motorists’ coverage. If you are involved in an accident with a motorist who is not covered by insurance, uninsured motorists’ coverage will cover your costs. Underinsured motorists’ coverage will help your cover your costs if you are involved in an accident with a motorist whose insurance policy does not cover all the damages caused during the accident. Another popular form of insurance coverage would be physical damage. This includes two types namely, collision and comprehension. Collision policies will take care of your car if in an accident as minimum liability will not cover repair costs for your car. Comprehensive damage will cover costs for any damage caused to your car when it is not involved in an accident.