Definition of Full Coverage Insurance

• In Virginia, as well as the other states, full coverage auto insurance covers the damage done to your vehicle if you are in an accident along with any damage done to any other vehicle involved in the accident. If a vehicle is destroyed, the full coverage policy will pay cash for the current market value of the car. Most full coverage policies have a deductible that has to be met before the insurance will begin paying.
  
  

State Auto Insurance Requirements

• The state of Virginia does not require that drivers carry full coverage auto insurance but it does require liability insurance, which will cover the other driver if an accident should occur. The liability policy must cover bodily injury or death of one person at a minimum of $25,000, the bodily injury or death of two or more persons at a minimum of $50,000, and property damage at a minimum of $20,000. The state recommends that a driver purchase more than the minimum requirement and if at all possible that the driver purchase full coverage insurance.
  
  

Uninsured Motor Vehicle Fee

• The state of Virginia allows its residents to drive uninsured at their own risk if they pay a $500 uninsured motor vehicle fee. The fee must be paid every time the registration is renewed. If a driver is found to be driving uninsured and has not paid the uninsured motor vehicle fee, they will have their driving and vehicle registration privileges suspended. To reinstate those privileges the driver must pay a $500 statutory fee, file a financial responsibility insurance certificate (SR-22) with the DMV for three consecutive years and possibly pay a reinstatement fee.
  
  

Verification of Coverage

• Insurance carriers are required to provide the department of motor vehicles with electronic updates of a driver's insurance information and a description of the vehicle. If a policy is canceled, if coverage is added or if a new coverage policy is written for a vehicle registered in Virginia, the changes must also be reported.
  
  

Finding Coverage

• Virginia has a competitive rating law which means that different companies will offer different policies at different rates. It is to the consumer's benefit to look for the best quality coverage at the best price. The Bureau of Insurance publishes a consumer guide for comparing auto insurance premiums in Virginia. If a driver is having difficulty finding an insurance company that will accept them, the state of Virginia offers the Virginia Automobile Insurance Plan. It is a high-premium plan that should be a last resort when searching for insurance and should be used only until the driver finds insurance coverage elsewhere.