Handyman Insurance – Who May Need Insurance without a License
While it may not seem to make much sense to obtain automobile policies as an unlicensed consumer, there are a few good reason to do so. One such reason is that if an individual wishes to keep the registration valid in states that require continuous coverage to do so, they will need to maintain an active policy. Although it may not seem like a good investment, failure to keep a car insured can lead to fines and penalties that can amount to more than a premium if a lapse occurs and the state is made aware of it. Also, if a vehicle owner is intending to have a driver operate and borrow the automobile, it will most likely need to be covered. According to the Wisconsin Consumer Guide to auto insurance a borrowed vehicle will often be covered by the policy which can help an unlicensed automobile owner should such a situation come up.
A very common reason to purchase a policy without a driver’s license is to have driving privileges reinstated. Many states require that once licensing has been suspended that one of the requirements to have the suspension lifted is by providing valid proof of coverage. Another reason that policies may need to be maintained is because an individual is financing a vehicle. Although a driver may become unlicensed it does not mean that they do not need to abide by the loan agreement. Most financial institution will require that borrowers keep automobiles insured against physical damage as part of the contract. Although individuals feel that maintaining coverage even though they cannot drive may be a waste of money, there are several instance where it may be necessary.