Insurance
Liability Insurance

Are non profit vehicles exempt from carrying liability insurance?

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Wiki User
2007-05-27 10:54:04

Non Profit Vehicles are not Exempt from Financial Resposibility

Laws. All Motor Vehicle Operators must be able to demonstrate

financial responsibilty. Even Municipal and Government vehicles

must maintain suitable financial responsibility. Remember, The law

does not require that we buy liability Insurance. Obtaining at

least Liabilty Insurance is the most common and cost effective way

for most people to demonstrate Financial Responsibility. Another

Option for demonstrating Financial Responsibility is to place a

cash bond with your state of residence in the prescribed amount

sufficient to cover any future claim. This option is most often

used by businesses and higher income individuals. After filing you

will be issued a bond certification which you can use in lew of

buying liability insurance. You are then considered to be self

insured.


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