Maine Auto Insurance Laws, Minimums, Requirements
What mandatory auto insurance laws exist in the state of Maine?
In the state of Maine, all motorists must carry minimum liability insurance coverages of $50,000/$100,000 for bodily injury, $25,000 for property damage, $50,000/$100,000 uninsured/underinsured motorist, and $1,000 for medical payments.
What is the Minimum Liability Coverage (Bodily Injury amounts per person, per accident, and property damage amounts):
If you buy automobile insurance in the state of Maine, your policy must include minimum liability coverage of:
$50,000/$100,000 for bodily injury,
$25,000 for property damage,
$50,000/$100,000 uninsured/underinsured motorist,
and
$1,000 for medical payments
What are the Rental Car Insurance Requirements?
In the state of Maine it against the law to operate any motor vehicle without insurance, this includes rental cars. Rental cars must carry the minimum liability coverages required by Maine law. It is important to keep in mind that most Maine auto insurance policies include car rentals. Most credit cards cover car rentals as well, so be sure to check your auto insurance policy and/or check with your credit card issuer. If you find that your credit card and/or auto insurance policy do not cover rental cars, you must purchase car rental insurance from the car rental company. It typically costs an extra $7-$14 a day.
What are the rules pertaining to Uninsured/Underinsured Motorist Coverage?
Uninsured/Underinsured Motorist Coverage is mandatory in the state of Maine. The state requires a minimum amount of $50,000 per person up to a total of $100,000 per accident for any bodily injury caused by the uninsured and/or underinsured driver
What are the rules pertaining to the exclusion from coverage of a driver living in household?
In the state of Maine, auto insurance companies can write policies that exclude household members. These exclusions are listed in the exclusions section, which also includes a list of all possible circumstances that would free the insurance company from the responsibility of paying a claim. It is important to examine your auto insurance very carefully before you sign on the dotted line.
What are the rules regarding whether a driver has prior insurance? That is, how does state law handle it if a driver has no prior insurance or has let their previous insurance lapse?
In the state of Maine, the law requires insurance companies to notify the ME Bureau of Motor Vehicles (BMV) when a driver’s insurance has lapsed. The Electronic Notification of Insurance Cancellation Program went into effect on January 1, 2005. After notification, the person will receive a letter from the BMV stating that they have a specific amount of time to provide evidence of insurance. This amount of time is usually within 30 days of the date the BMV was notified by the insurance company. To avoid suspension of registration and plates, you must provide proof of active insurance within the time allowed. You can do this online, by mail, by fax, or in person at any Bureau of Motor Vehicles location. If your registration is suspended, you will have to pay a reinstatement fee of $35.00.
What are the rules and guidelines auto insurance companies must follow regarding the use of Personal Credit History in selecting applicants and setting rates?
In the state of Maine it is legal for insurance companies to use your Personal Credit History as a tool to determine rates and offers for products. Maine auto insurance companies do not use Personal Credit History alone to figure rates. They also consider age, gender, where you live, car make and model, how much you drive, and prior insurance coverage.
Is the state a No Fault or Tort state? What does either mean to the policy owner?
Maine follows a Tort System. What this means is if you are involved in an accident, someone must be found to be the cause or fault of the accident. The person deemed at fault is responsible for all damages. Damages are usually handled through the at-fault person's insurance company. Because Maine is a Tort state, most insurance companies recommend that driver’s consider carrying higher coverages than the state minimums.
What is the average auto insurance premium in this state? As of what year?
As of 2006, Maine resident’s average insurance premium was approximately $634, the 42nd most expensive in the nation. This was down 1.6% from the previous year. The national average was $817.
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