Car Insurance in Nevada

Driving always comes with risks. Because of this, the state of Nevada requires all drivers to carry a minimum of liability insurance on their vehicles. Your insurance covers your financial responsibility if you cause an accident, and therefore protects you and your assets.

Ways to Establish Financial Responsibility

The most simple way to prove financial responsibility is to purchase auto insurance through a legally authorized insurance company. In fact, most drivers in Nevada have no other choice.

The only alternative to buying an auto insurance policy is self-insurance―but you must own 11 or more vehicles to qualify for this option.

In short, you can establish financial responsibility as a Nevada driver by doing one of the following:

• Purchase a policy for motor vehicle liability insurance

• Show proof of self-insurance (if you own 11 or more vehicles)

Nevada Liability Insurance Requirements for Private Passenger Vehicles

Every driver in Nevada must have an insurance policy that meets the following minimum requirements, whether the vehicle is used or not:

• $15,000 bodily injury coverage for one person in one accident

• $30,000 bodily injury coverage total per accident

• $10,000 property damage coverage per accident

• Policy provider must be licensed in Nevada

Your insurance card should be in your vehicle at all times.

The state requires liability insurance only, but many drivers prefer to get "full coverage," which usually includes comprehensive and collision coverage. Check out the different types of insurance coverage available to make sure you get the policy that will work best for you.

Proof of Insurance and Financial Responsibility

The state of Nevada is so committed to vehicle insurance protection that it has instituted the Insurance Verification Program (IVP).

Nevada's Insurance Verification Program

Under the guidelines of the IVP, Nevada insurance companies send monthly reports to the DMV outlining all the new policies and terminations they've processed throughout the month.

As long as you keep your liability coverage current, you'll never have anything to do with the IVP. If, however, reports show that you terminated your policy and no new policy of yours shows up in any other report, the IVP process rolls into motion.

The purpose of the program is, of course, to verify that you do have coverage on your vehicle. The IVP unfolds in the following sequence:

1. Based on reports from statewide insurance companies, the DMV flags your vehicle as possibly uninsured.
2. The DMV mails you a verification request. This document gives you 20 days to provide the following information: insurance policy number, your name, the vehicle's VIN, and the insurance company's name.
3. You either:

• Provide the requested information by mail, or by filling out the online IVP Verification Response form. After verifying the information, the DMV will notify you that the matter has been resolved.

• Fail to respond or fail to show proof of insurance within the allotted time. The DMV will then send you a certified letter notifying you that your vehicle registration has been suspended.

If you feel your registration was suspended due to an error, you can appeal the decision by contacting the Office of Administrative Hearings.

You can look up your registration status at any time online with the State of Nevada Registration Inquiry tool.

Penalties for Failure to Maintain Financial Responsibility

If you have no proof of insurance coverage―or it has otherwise lapsed or been terminated―the most immediate result will be the suspension of your registration. That means it will be illegal to drive your vehicle on public roads until the registration is reinstated.

In the event a police officer pulls you over and your vehicle's registration has been suspended, the officer is entitled to remove your license plates and also impound the vehicle immediately.

Registration Reinstatement

To reinstate your vehicle registration, you'll need to:

• Obtain the minimum amount of liability coverage for your vehicle.

• Pay a reinstatement fee, which, depending if you're a repeat offender, can range from $250 to $1,750

Note: If your vehicle was considered "dormant" during the lapsed period because of mechanical problems or seasonal conditions, you can fill out a Dormant Vehicle Affidavit. Submit the form and proof of the dormancy to the DMV, and the reinstatement fee drops to $50 instead of $250.

You can reinstate your registration by mail, fax, or in person at a DMV office.

You can also visit a self-service kiosk at a DMV location or complete the online Insurance Verification Reinstatement form. These options are available to you only if you meet the following requirements:

• You have the suspension notice that includes an access code or barcode.

• Your new insurance information is in the DMV system, which can take up to a month after your provider sends in the report.

• Your vehicle registration was actually suspended. (There can sometimes be a period of a couple months between an insurance lapse and the actual suspension.)