Insurance Center

The state of Ohio requires you to have proof of insurance or other financial responsibility (FR) whenever you drive. The state also requires that you make sure that anyone else who uses your vehicle has FR coverage. When you apply for a license or permit, or when you register your vehicle, you will be required to sign a financial responsibility form stating that you won't drive without adequate coverage.

What is considered adequate coverage? You'll need to have enough to provide coverage of at least:

• $12,500 bodily injury per person

• $25,000 bodily injury for two or more people

• $7,500 for property damage

The simplest way to do this is through liability insurance, which covers damages caused by you against another person that result in personal injury, death, or property damage. Please note that the coverage limits mentioned are just the state minimum requirements. Most insurance experts think that having more coverage than this is a sound idea.

You will be required to show proof of this coverage:

• Whenever you are given a ticket.

• At vehicle inspection stops.

• At traffic court appearances.

• At random checks by the Registrar of the Ohio Bureau of Motor Vehicles (OH BMV), primarily via mailings sent to 5% of drivers each year.

You can demonstrate proof of FR coverage by showing:

• Your insurance policy.

• Your insurance identification card.

• A surety bond of $30,000 issued by any authorized surety company.

• A BMV bond secured by real estate equity of at least $60,000.

• A BMV certificate for money or government bonds in the amount of $30,000 on deposit with the State Treasurer.

• A certificate of proof of financial responsibility signed by an insurance agent on a form prescribed by the BMV.

What happens if you can't show proof of FR coverage when asked to? You could:

• Lose your license for 90 days on the first offense, a year for the second, and two years for any additional times.

• Lose your license plates and registration.

• Have to pay reinstatement fees of anywhere from $75-$500, depending on the number of offenses.

• Be required to have special FR coverage (such
  as the costly "high-risk" insurance) for a period of three to five years.

• Face other penalties such as having your vehicle immobilized or sold, or having your license revoked.

Also, if you're involved in an accident and don't have FR coverage, additional penalties could apply.

If you have FR coverage but aren't able to prove it at one of the instances named above, don't panic. You can still provide proof by sending a copy of your FR to the BMV, bringing it with you to traffic court, or sending along a copy of it when you pay your traffic fine. However, if you fail to show proof, the process to suspend your license and registration will begin―even if you do have adequate FR.

For further information on the subject, read about Ohio's financial responsibility laws, or take a look at answers to financial responsibility FAQs.