Reader’s Question:

My father totaled his vehicle. Will he get money from the damage if he has full coverage but with suspended license? We live in Little Rock, Arkansas.

Julia

Little Rock, AR

Unless there is exclusion in your father’s policy then he should be covered under his collision coverage for the accident, even though his license was suspended at the time of the accident.

Your father will have to contact his insurance carrier and find out if the terms of his policy and their internal rules and guidelines allow his accident to be covered even though he was driving on a suspended license.

Each insurance provider differs on their rules and guidelines. It may be that his insurance policy was not in force because of you not having a valid license at the time of the damage or his insurance may have a clause that permits the insurance coverage to remain in force even if the policyholder has a suspended or invalid license.

The license status at the time of a claim typically does not change the policy status and the claim would be paid.

Reader’s Question:

My sister was caught driving without insurance for the fifth time, what penalties should he be expecting? We live in Arkansas.

Mandy

Little Rock, AR

In Arkansas, you are required to have proof of liability insurance on your car in the amount of 25/50/25. If your sister are found without insurance there is a graduating scale of penalties, all with mandatory fines. A fine of between $50 and $250 is required to be paid for the first offense. A fine of between $250 and $500 is due for a second offense . A third or any subsequent offenses have a fine of between $500 and $1000 or a sentence of a year in jail or both.

With being caught for driving without insurance for the fifth time your sister will likely pay the highest fine possible and possibly be subjected to serving jail time as well.