Auto Coverage in Wisconsin
Wisconsin Auto Insurance
Wisconsin is one of the unique states in the nation that doesn't necessarily require drivers to purchase an auto insurance policy. However, you will still need to show financial responsibility in some form, whether through auto liability insurance coverage, or by posting a cash deposit of $60,000 with the Wisconsin Department of Transportation.
Although it's optional, many Wisconsin drivers opt for auto insurance, which helps save and recover some costs, even if you don't have the money up-front. On the other hand, should you post a deposit and get in a car crash, you could lose the entire amount if the damages are high in cost.
Minimum Wisconsin auto insurance
If you do choose to buy auto insurance instead of submitting a cash deposit, then you will need to carry certain minimum amounts of liability coverage for Wisconsin:
- Bodily Injury and Death: $25,000 to cover one person in any one accident, and $50,000 to cover all injuries
- Property Damages: $10,000
Wisconsin is similar to many other states in its laws concerning fault and payment in the case of auto accidents. If you're involved in a collision, the state relies on a tort system, meaning that one of the drivers must be found at fault for causing the accident and is responsible for all of the damages.
The payments in a tort system are usually handled through the driver's auto insurance policy (who pays for the damages up to the amounts specified). If your coverage is too low, then you'll end up paying the additional costs out of pocket and could lose your rights to drive.
Penalties without Wisconsin auto insurance
If you can't pay your damages in an accident, because you don't have enough insurance or enough of a deposit to cover the amounts, your right to drive and your vehicle registration can be suspended. You'll then need to file a proof of insurance in the form of an SR-22 Certficate for three years, and you'll need to pay more fees to reinstate your driving privileges once you have that coverage.