Minnesota's No-Fault Act requires all drivers to have personal injury protection coverage.
Auto insurance protects drivers "from the financial costs of an accident or injury," according the Minnesota Department of Commerce, which regulates insurance agents, adjusters and agencies. Minnesota law requires owners of registered motor vehicles to have certain levels and kinds of coverage; however, they are not required by law to carry comprehensive or collision coverage. Drivers must carry proof of insurance in their car or truck at all times. A Minnesota policy covers the driver in all 50 U.S. states, all U.S. territories and Canada.
Personal Injury Protection: No-Fault Coverage
Under Minnesota's No-Fault Act, owners of registered cars and trucks must carry personal injury protection, also known as no-fault coverage. According to a pamphlet from the Minnesota Department of Commerce, personal injury protection insurance will pay a driver for "medical expenses, lost wages and replacement services" if she is injured in a crash--no matter who is at fault. The state requires drivers to carry a minimum of $40,000 in no-fault coverage--$20,000 for medical expenses and $20,000 for non-medical expenses.
Other Required Coverage
In addition to no-fault coverage, Minnesota law requires all drivers carry liability, underinsured motorist and uninsured motorist coverage. Minimum liability insurance, which "covers claims to your policy from another driver," is $30,000 for injuries to one person, $60,000 for injuries to two or more people and $10,000 for physical damage to the other driver's vehicle, according to the Minnesota Department of Commerce. Underinsured coverage pays for medical claims that exceed the at-fault driver's liability limits, while uninsured coverage pays for medical expenses after personal injury protection coverage is exhausted if the at-fault driver is uninsured. Uninsured and underinsured motorist minimum coverages are both $25,000 for injuries to one person and $50,000 for injuries to two or more people.
Cancellation and Policy Non-Renewal
Insurance providers can't deny Minnesota drivers a policy using employment status, tenant status or not previously carrying insurance as a reason; however, they can cancel the policy or reduce coverage for other reasons within 59 days of its issue. The Minnesota Department of Commerce says insurers must notify drivers of policy cancellation and the reasons behind it. Reasons can include not paying the policy's premium, lying or misrepresenting information on the written application, a defective vehicle or the number of points a driver has on his record. Driving offenses ranging from speeding tickets to motor vehicle theft add points. If a driver reaches a minimum number of points determined by the number of vehicles on the policy, the insurer can opt to not renew the policy.
Tags: Department Commerce, injury protection, Minnesota Department, Minnesota Department Commerce, personal injury, personal injury protection, medical expenses
