Minimum Requirements To Drive An Automobile
To comply with the auto insurance requirements in Alabama rivers in the state of Alabama are required to carry the minimum amount of automobile liability insurance whereas $20,000 covers a driver’s legal obligation to pay for an accident that results in the injury of another party; $40,000 covers an injury of two or more parties; and $10,000 covers property damage. Coverage must be issued from a licensed Alabama automobile insurance company prior to vehicle operation and/or registration.
Note that effective September 1, 2008, $25,000 must cover a driver’s legal obligation to pay for an accident that results in the injury of another party; $50,000 must cover an injury of two or more parties; and $15,000 must cover property damage.
Drivers are required to demonstrate proof of auto insurance at all times that contains:
- The name of the coverage’s automobile insurance company
- The vehicle’s year, make, and model
- The vehicle identification number (VIN)
- The policy number
- Policy effective and expiration dates
Acceptable Forms of Automobile Insurance
Acceptable forms of proof of insurance include:
- A temporary proof of automotive insurance card
- A receipt of payment on an existing premium
- The declarations page from a current policy
- The entire policy itself
- A certificate of liability insurance
- Proof of an automobile purchase not older than 60 days on an insured vehicle (copy of the bill of sale, owner’s copy for certification of title, etc.)
- A copy of a rental contract that describes the purchased insurance
Alternative Forms of Insurance Coverage
A $50,000 cash bond or cash certificate that is not subject to any judgment may satisfy Alabama’s liability insurance requirement. Like with traditional liability insurance, drivers must be able to demonstrate proof of a cash bond certificate at all times. Drivers must be able to demonstrate proof of a cash deposit certificate at all times as well.
Penalties
Alabama’s Department of Revenue may periodically survey drivers for proof of automobile insurance. Drivers may reinstate tags and registration by submitting proof of registration in addition to paying a $100 fee for the first suspension, and a $200 fee for subsequent four-month suspensions
Drivers convicted of driving without automotive insurance, driving with counterfeit proof of insurance, or refusing to demonstrate proof of automobile insurance when requested by law enforcement suffer from tag and registration suspension.
