Tennessee Auto Insurance Laws

The Volunteer state makes it mandatory that all who operate a motor vehicle must abide by the financial responsibility law. This can be done by obtaining a policy from a state approved insurer that meets the minimum liability limits that have been determined by the state’s department of insurance. The main goal behind enforcing the financial responsibility law is to help keep uninsured drivers off the roadways and protect others who utilize them as well.

Minimum limits of Liability:

• $25,000 for bodily injury to one person
• $50,000 for bodily injury to two or more persons
• $15,000 for property damage per accident

Not having the proper policy in place can end in legal penalties. Not being able to provide evidence of an active policy is considered a Class C misdemeanor which can result in a fine of up to $100, suspension of driving privileges and a STOP placed on a vehicle file if convicted. A STOP will prevent an individual from being able to renew their vehicle’s registration. In order to have a STOP removed one must provide evidence of financial responsibility and have their driver’s license reinstated and pay any applicable fines and fees.

Not being in compliance with Tennessee auto insurance laws can not only result in legal fees but also be very costly. If involved in an accident and found to be at fault, the driver will be held responsible for any injuries and damages that they may have cause as a result of the collision. Since the price of medical care and the cost to repair or replace a vehicle can be quite high one would find themselves in some serious financial trouble. Aside from money alone, the uninsured motorist can find themselves subject to a lawsuit and possible imprisonment.

Therefore it is extremely wise to always be insured and to practice safe driving and obey traffic laws at all times in order to protect themselves as well as others.