The truth is that auto insurance isn’t technically mandatory in a lot of states. If you can prove to your state that you can pay an amount equal to the minimum liability amount required for an auto insurance policy, you may not be forced to get an insurance policy.
However, this is not practical for most people. Auto insurance allows those of us who don’t have tens of thousands of dollars we are willing to put at risk to drive our cars and meet the financial responsibility laws.
When did required car insurance start?
The first law requiring that auto insurance be mandatory went in to effect in Massachusetts in 1927. This, I’m sure was after many people had their lives ruined by uninsured drivers. Now only two or three states are without such laws.
Autos were even more dangerous than they are now. Our roads are better and our cars are better and seat belts are worn by more motorists.
Auto insurance became mandatory because few people have the resources to pay for the injuries a car crash can cause the way that an insurance company can.
