North Carolina has some very strict limits for drivers with NC auto insurance. It is one of the few states with mandatory minimum requirements for a policy. The limits for a personal vehicle (as opposed to a commercial vehicle) are: $30, 000 for bodily injury for one person and at least $25, 000 for property damage caused by an accident involving your car.
North Carolina is also one of the few states that does not mandate comprehensive, collision, medical payments, or insurance for uninsured drivers (if you are involved in an accident and the other party is injured and uninsured, this portion of your insurance would pay the tab for his injuries). Of course, even though the state has recommendations and limits, most of these are overshadowed by leasing companies who insist not only that you have insurance, but that you have much higher minimum limits – usually the maximum you can buy.
Insurance must be maintained continuously and if your insurance is canceled for any reason at all including non payment or perhaps your carrier has changed, your carrier must notify the NC department of motor vehicles immediately and you will need to fill out Form FS5-7 when it comes in the mail. This is your chance to explain the cancellation and provide updated insurance information.
Proof of insurance must be carried with you at all times, preferably in the form of an FS-1, which is a certificate issued by your insurance carrier at the time of renewal. If you are found to be driving a car without insurance there are some stiff penalties including loss of your license plate for up to thirty days.
If you have a teenager at home who has been recently licensed to drive, you may be able to participate in the GDL program, or the Graduated Driver Licensing program. The parent and the teenager are required to sign an agreement which specifically outlines certain restrictions that need to be followed when the teen is driving. For instance, no nighttime driving after 9:00 PM.
Additional credit is given for teens who have had their learner permit for longer than six months, and still another credit is given if the teen promises to have no more than one non family member with when he drives.
The longer this agreement is in effect between the parent and the teenage driver (from 16 to 18 years of age is considered the best), the better your car insurance rates will be.