If you drive you have probably had to purchase in insurance since it is very likely mandatory. There are a lot of people who are angry that they have to pay for this insurance although in large part that just shows a lack of understanding about why they need it. Nevertheless there are always people looking for ways to avoid paying it. This raises the question is there anyplace where auto insurance is not mandatory?
As far as we know auto insurance is mandatory everywhere in the world, although it is likely that in some small third world countries there may not actually be any laws requiring that you have it. Therefore if you are going to be driving you are going to have to have insurance coverage since the chances that you are in one of those places where car insurance is not mandatory are pretty slim.
Although car insurance is a requirement pretty much everywhere there is some variation in the way that it is paid for. In some cases this may give the impression that you do not actually have coverage. One approach that some regions have been experimenting with is by having the liability part of the insurance, that is the part that is mandatory paid for by a gas tax. The theory here is that since everybody has to have this type of insurance it is a more efficient way to collect it. In addition it means that the amount that you pay is based on how much you drive. Of course how this system is going to work as electric cars start to come onto the road remains to be seen.
One of the reasons that we are seeing some regions look for different ways to collect car insurance payments is that despite the fact that it is required pretty much everywhere there are quite a few people who don’t have the coverage that they are supposed to have. This puts everybody on the road in danger and usually the government ends up having to pay the costs of accidents. This is why it is a good idea to make sure that you have no fault insurance coverage, there is no guarantee that the guy who hit you has the insurance that he is supposed to have.
Even if you do manage to find one of those rare places where car insurance is not mandatory you would be crazy to drive without it. There is after all a reason that it is required almost everywhere, it is an important protection. You are responsible financially for any damage that you do and a car accident can do a lot of damage. In many cases if you don’t have insurance you are going to be financially ruined if you cause an accident. The risk is just not worth it.