Just like every state in the United States, Tennessee has minimum automobile insurance coverage that is set by law. This means that if you do not have insurance on your vehicle, or you do not have insurance coverage to the amount dictated by Tennessee law, then you can be cited for a violation and have to pay a fine. There are two types of states when it comes to car and truck crashes: No-Fault and Fault. No-fault is when there is an accident between two vehicles, each driver’s own insurance pays for certain damages (medical bills, wage loss, etc.), no matter who was at fault. Fault states, like Tennessee, is where whoever was determined to be at fault will pay all of the damages suffered by the other parties. This requires that everyone have a set amount of insurance.
Tennessee Liability Insurance Minimums
The state of Tennessee passed mandatory minimums for liability insurance that covers all vehicles using the roads and highways of Tennessee. Liability insurance covers any damages you may cause to another in an automobile wreck. Here are the limits:
● $25,000 for each injury or death per accident
● $50,000 for total injuries or deaths per accident
● $25,000 for property damage per accident (raised from $15,000 for policies issued or renewed after December 31, 2022)
These limits cover injuries suffered by pedestrians, passengers, and other drivers, but they don’t usually cover property damage or injuries suffered by the negligent driver. Every insurance company who operates in Tennessee also offers additional coverage and protection. The reason why you need liability insurance is to protect you from someone filing a lawsuit against you due to your negligent driving that caused injuries. If you do not have insurance, the injured person can potentially ultimately win the lawsuit and take and sell your personal belongings and property in order to recoup the judgement amount. If you have insurance coverage, the insurance company will pay any judgement that is awarded or any settlement that is agreed upon. The insurance company will also pay to hire a lawyer on your behalf to defend against the lawsuit. Here are some extra coverage that you can purchase:
● Collision insurance: This covers any damage to your vehicle related to the accident.
● Medical payment coverage: This type of insurance will help pay for your medical bills following an accident.
● Uninsured or Underinsurance motorist insurance: If you are involved in a wreck with a driver who doesn’t have coverage or has too little, this will help cover the costs associated with the accident.
● Rental car coverage: This will help cover the cost of a rental car while your vehicle is getting repaired.
● Comprehensive insurance: If you purchase this option, you’re covered for damages that are not caused by an accident—for example, vandalism or weather conditions.
If you have automobile insurance questions, contact Robert Bates & Associates, located in Kingsport, TN.
Hurt in a wreck? Don't wait. Call Bates.
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Call (423) 765-1215