Nevada Minimum Insurance Payouts

In Nevada, like in many other states, there are minimum auto insurance requirements that drivers must meet to legally operate a vehicle. These minimum insurance payouts are designed to ensure that drivers have the financial capability to cover damages or injuries resulting from an accident.

Nevada’s Minimum Insurance Requirements

Nevada law mandates that all drivers carry a minimum level of liability insurance. The minimum insurance coverage required by the state is often referred to as 25/50/20 coverage, which includes:

$25,000 for Bodily Injury Per Person: This coverage pays up to $25,000 for bodily injury or death of a single person in an accident caused by the policyholder.

$50,000 for Bodily Injury Per Accident: This amount covers up to $50,000 total for bodily injury or death if multiple people are injured.

$20,000 for Property Damage Per Accident: This coverage pays up to $20,000 for damage to other people’s property.

These minimum coverage amounts are designed to provide a basic level of financial protection. However, in many cases, the costs of an accident can exceed these minimum amounts, which is why many drivers opt for higher coverage limits.

What Does Liability Insurance Cover?

Liability insurance is intended to cover damages or injuries that you may cause to others in an accident. It does not cover your own injuries or property damage. Specifically, it pays for:

Medical Expenses: For injuries sustained by the other driver and their passengers.

Lost Wages: If the injured party is unable to work due to their injuries.

Property Damage: Including damage to the other driver’s vehicle and any other property damaged in the accident, such as cell phones, car seats, fences, buildings, or other vehicles.

Legal Fees: In case the other party decides to sue you for damages.

Consequences of Not Carrying Minimum Insurance

Failing to carry the minimum required insurance in Nevada can result in serious consequences, including:

Fines and Penalties: Drivers caught without insurance can face fines ranging from $250 to $1,000, depending on whether it is a first or subsequent offense.

License Suspension: The state may suspend your driver’s license and registration until you can provide proof of insurance.

SR-22 Requirement: You may be required to file an SR-22 form, which is a certificate of financial responsibility that proves you have the required insurance. This often results in higher insurance premiums.

Out-of-Pocket Costs: If you are involved in an accident without insurance, you will be personally liable for any damages or injuries you cause, which can result in a significant financial burden.

Nevada Auto Insurance FAQs

Is uninsured/underinsured motorist coverage mandatory in Nevada?

No, but it is recommended for protection against drivers with no or insufficient insurance.

What are optional forms of auto insurance?

Types of coverage that are optional include:

Uninsured/Underinsured Motorist Coverage: This provides protection if you are involved in an accident with a driver who has no insurance or insufficient insurance.

Collision Coverage: Pays for damage to your own vehicle in an accident, regardless of fault.

Comprehensive Coverage: Covers non-collision-related damages to your vehicle, such as theft, vandalism, or natural disasters.

Medical Payments Coverage: Helps cover medical expenses for you and your passengers, regardless of fault.

What is an SR-22, and when might I need one?

An SR-22 is a certificate of financial responsibility required for high-risk drivers, such as those caught driving without insurance or with serious traffic offenses.

Can my policy be canceled if I file too many claims?

Yes, especially if the claims are due to at-fault accidents.

How can I reduce my premiums?

Maintain a Clean Record: Avoid violations and accidents.
Bundle Policies: Combine auto with other insurance.
Increase Deductibles: Opt for higher deductibles.
Take Defensive Driving Courses: Some insurers offer discounts.
Shop Around: Compare different insurers.

What should I do if I’m in an accident?

Ensure Safety: Move to a safe location and check for injuries.
Call the Police: Report the accident.
Exchange Information: Share names, contact info, and insurance details.
Document the Scene: Take photos.
Notify Your Insurer: Report the accident.
Hire a Lawyer: Discuss your legal options with an experienced Las Vegas car accident attorney as soon as possible.