Wisconsin drivers must have motor vehicle liability insurance. Make sure you understand your car. Your Wisconsin car insurance policy should always include coverage for bodily injury, property damage, and coverage for uninsured drivers. You should cancel your car's full coverage insurance when the cost of the insurance is equal to or greater than the potential payment, in the event of a covered event.
Some drivers may have to ask their insurer to file an SR-22 form, if requested by the state, to meet financial responsibility requirements. Bodily injury (BI) coverage covers the other driver's medical expenses if you're at fault for an accident. If you can't afford to have your car repaired or replaced after an accident, collision and comprehensive coverage are important types of coverage, even if they're not mandatory. Some states require drivers to have PIP or MedPay, while collision insurance is often mandatory if you rent or finance your car.
Bodily injuries caused by uninsured drivers (UMBI) cover you and your passengers or anyone covered by your policy if you have an accident with an uninsured driver. If you're at fault for a car accident, your liability insurance pays for repairs to the other driver's car and will likely cover the doctor's bills if you're injured. Learn more about when to cancel optional coverage and penalties for driving without insurance in Wisconsin to make sure you pay for the coverage you need. For example, it might not be worth doing expensive repairs to an old car with high mileage, and you might want to save up to buy a new car instead of paying for additional insurance.
However, regardless of the state, fault always determines who pays liability insurance for property damage. Under state law, Wisconsin auto insurance companies must provide you with coverage for medical and underinsured motorist payments. Comprehensive insurance covers repair or replacement costs if your car is damaged by falling objects, natural disasters, floods, fires, thefts, vandalism, or animals. For those who aren't quite sure exactly what it means, “full coverage” is a general term for insurance that covers you, other drivers and your vehicles.
Your liability insurance never covers your own expenses, so you'll need collision insurance, personal injury protection (PIP), or MedPay to avoid paying out of pocket for an accident where you were at fault.