Purchasing a vehicle is a big step and is rarely cheap. It also comes with many responsibilities, and one of those is registering the vehicle. In most states, you must show some sort of financial responsibility before you can register the vehicle to drive. Not all states require that to be through insurance though. In fact, many states offer other ways to drive without car insurance.
Alaska
· Proof of self-insurance
· Post a bond with the DMV
Arizona
· $40,000 bond with the state treasury office
California
· Car ins.
· $35,000 cash deposit with the DMV
· Self-insurance (must own at least 25 cars)
· Surety bond of $35,000
Indiana
· Deposit with state treasury office
· Surety bond
Iowa
· Automobile INS.
· Ability to immediately cover financial responsibility in an accident
Missouri
· Auto ins.
· Surety bond
· Real estate bond
· Self-insurance (dealers only)
Montana
· Surety bond
· Cash deposit with state treasury office
· Self-insurance
Nebraska
· Carry car insurence
· Cash deposit with state treasury office
· Self-insurance
· Surety bond
New Hampshire
· Insurance only required if you have been in an accident, convicted of driving under the influence, reckless driving conviction, and/or traffic violation under review
Ohio
· Auto insurence
· Surety bond
· Cash deposit with the state treasury office
· Complete Section A in the crash report for the state
· Self-insurance
Oklahoma
· Cash deposit with state treasury office
· Self-insurance
· Surety bond
South Dakota
· Self-Insurance
· Cash deposit with the state treasury office
Texas
· Surety bond (need TWO individuals)
· $55,000 cash deposit with state comptroller
· $55,000 cash deposit with county judge
· Self-Insurance (dealer with over 25 cars)
Virginia
· $500 uninsured driver fee
As you can see, many states offer you other methods in registering your vehicle without having to have car ins. However, it may cost you more money to get around insurance than just purchasing a simple liability insurance plan. Most cash deposits and surety bonds must be above $30,000 and insurance may cost you between $1000 and $3000 a year. This means you must own that car for at least six years to make the cost less. Dealers with over 25 vehicles in their fleet can apply for self-insurance. The rules vary between states, and it does not cover underinsured or uninsured drivers. It also does not cover lawsuits due to injuries.