Under Washington’s financial responsibility laws, drivers are required to demonstrate that they can pay for any damages they cause as the result of an accident. The legislation states that a driver can put up a $60,000 bond if he or she wishes as an alternative to buying car insurance.
Car dealers or those who have more than 26 vehicles registered in their name are not required to insure each one separately. Instead, the dealer can put up a certificate of deposit or a liability bond instead of buying liability coverage. This option for self-insurance is not available to individual car owners.
For most people, buying a car insurance policy is a more economical option. The premiums that the driver pays for coverage are an investment in a way to protect his or her assets. If an accident occurred and the at-fault driver didn’t have car insurance in place, he or she would be personally responsible for any damages.
Paying the premiums for something that may never be needed may seem a bit silly sometimes. Many drivers go through their entire lifetime without being involved in any kind of accident, and it may be tempting to play the odds by letting the coverage lapse. Those people who do become involved in an accident are no doubt glad they paid their premiums and kept their coverage current.