As a resident of Louisiana, you are required to have car insurance. Those who drive without insurance are not only subject to penalties and fines, but being without insurance will also prevent you from making insurance claims regardless of who is at fault in the accident.
Read below to learn more about car insurance requirements, options, laws, and rates in Louisiana.
Insurance Regulation in Louisiana
Louisiana insurance is regulated by the Louisiana Department of Insurance (DOI).
The DOI's responsibilities include:
Reviewing and approving insurance rates.
Making and enforcing insurance rules.
Assisting consumers with concerns or complaints.
Investigating insurance fraud.
If you have an unresolved concern or dispute with your car insurance provider, you can file a complaint form online or request a form by phone:
Your auto insurance company cannot raise your rates or cancel your policy for filing a complaint.
Required Car Insurance in LA
Louisiana state law requires that all drivers have liability coverage.
Liability insurance pays for damages or injuries that you cause in a car accident, up to the amount of coverage you have.
The minimum liability coverage limits required in Louisiana are:
$15, 000 of bodily injury coverage per person.
$30, 000 of bodily injury coverage per accident.
$25, 000 of property damage coverage.
Remember, you can always opt to purchase higher coverage limits for greater protection.
Insurance and Vehicle Registration
You must have valid liability insurance in order to register your car or renew your registration.
The LA Office of Motor Vehicles (OMV) will verify your car insurance electronically if you:
Register a car bought from a dealer.
Renew your registration online.
You must provide proof of insurance if you:
Register a car bought from a private individual.
Transfer an out of state title.
The OMV accepts the following as proof of insurance:
An insurance card issued by your auto insurance company.
A copy of your insurance policy.
A copy of your policy declaration page.
A statement from your insurer that MUST:
Be on your car insurance company's letterhead.
Be signed by your insurance agent or a representative of the company.
Have a complete description of your vehicle.
Have your vehicle identification number (VIN).
Optional LA Car Insurance
You can buy several additional types of coverage that pay for damage and injury costs not covered by liability insurance:
Collision coverage: Pays for accident-related repairs to your vehicle.
Comprehensive coverage: Pays for repairs to your vehicle from damage caused by other factors, such as theft or severe weather.
Uninsured/underinsured motorist (UIM) coverage: Pays for expenses you incur in an accident caused by someone with no insurance or too little insurance. Types of UIM are:
UIM bodily injury coverage to pay for your medical treatment.
UIM property damage coverage to pay for your vehicle repairs.
UIM economic-only coverage, which pays only for actual costs of medical treatment.It doesn't cover pain and suffering.
Medical payments coverage: Pays for medical expenses, including funeral expenses, for a certain period of time after an accident, regardless of who is at fault.
Rental reimbursement coverage: Pays for a rental car after an accident.
Towing and labor coverage: Pays for towing and some repair costs.
NOTE: If you finance or lease a vehicle, your lender will require you to buy collision coverage and comprehensive coverage.
Car Insurance Violations & Penalties
The main reasons you might face penalties with regard to insurance are:
You are unable to provide proof of current insurance.
Your policy has been canceled.
There's been a lapse in your policy.
Proof of Insurance
The Louisiana OMV has several ways to verify your auto insurance:
Car insurance companies must notify the OMV of canceled or expired car insurance policies.
You must show proof of insurance if stopped by a police officer or involved in an accident.
Proof of insurance can be shown with:
An insurance card (or copy) issued by your car insurance company.
An image of your insurance card on a mobile device.
The declaration page of your insurance policy.
The insurance policy itself.
If you are caught driving without proof of insurance, a police officer can either:
Remove your license plate and give you a Temporary Vehicle Use Authorization, allowing you to operate your car for 3 days to give you time to provide proof of insurance to the Office of Motor Vehicles.
Impound your vehicle.
Car Insurance Cancelation
Your auto insurance company can cancel your insurance policy within 60 days of purchase.
If your policy is canceled, they must notify you within:
10 days, if it's canceled because you didn't pay your premium.