Make Sure that You are Legal on the Road
Everyone that lives in Nevada needs to have auto insurance when they are driving on the road. Nevada requires that you have a minimum amount of liability coverage. In Nevada, you need to have $15,000 in bodily injury coverage during an accident for one person, $30,000 in bodily injury coverage when more than one person is injured in an accident, and $10,000 in property damage if you get into an accident. The insurance provider also has to be licensed in Nevada. You may want to get more insurance, but this is the minimum that is required.
Proof of Insurance Needed in Nevada
In Nevada, you need to be able to prove that you have liability insurance. In order to ensure that everyone is covered, Nevada created the Insurance Verification Program (IVP). Under this program, insurance companies in the state are required to send reports to the DMV on a monthly basis, notifying the state of what policies have been created, and which policies have been terminated. If you terminate your policy and fail to purchase a new policy, the government will flag your vehicle as being potentially uninsured. You will get a notice in the mail asking you to verify your insurance. If you fail to respond to the verification request, you will get a letter notifying you that your registration has been suspended.
Penalties for Not Maintaining Insurance
If you fail to maintain insurance in Nevada, you will face several penalties. The first one is having your car's registration suspended. If you drive after your car has had its registration suspended, the police officer might take away your license plates and immediately impound your vehicle. If you want to get your vehicle registration reinstated, you will have to pay $250 to have it reinstated, and you will have to obtain the required coverage.
Other Nevada Insurance Information
If you own 11 cars or more, you can choose to self-insure your vehicles. If your vehicle is a seasonal vehicle, or is inoperable due to mechanical problems, your vehicle can be considered a "dormant vehicle" and you will be able to let your insurance lapse if you follow proper procedures. If you have a dormant vehicle, you should notify the Department of Motor Vehicles in Nevada and cancel your registration before you cancel your insurance. The fee for reinstating a dormant vehicle's registration is only $50, as opposed to $250, as long as you fill out a Dormant Vehicle Affidavit when you reinstate your registration. Your registration can be reinstated by mail, in person at the DMV office, at a DMV self-service kiosk, or by fax.