The General Laws of Massachusetts (MGL) state that motor vehicle owners are required to have compulsory coverage under either a motor vehicle liability policy or a motor vehicle liability bond for the following:
- Bodily Injury coverage of at least $20,000 for injury to or death of any one person, and of at least $40,000 for injury to or death of more than one person (M.G.L. c. 90, 34A);
- Personal Injury Protection of up to $8,000 to pay for medical and/or funeral expenses and income replacement coverage (M.G.L. c. 90, 34A);
- Property Damage Liability coverage of at least $5,000 (M.G.L. c. 90, 34O); and
- Uninsured Motorist coverage of at least $20,000 for injury to or death of any one person, and of at least $40,000 for injury to or death of more than one person (M.G.L. c. 175, 113L).
MGL Chapter 90 Section 34B also speaks on certificates of insurance or surety companies and here says that the registrar [meaning the Registry of Motor Vehicles or RMV] shall accept a certificate of an insurance or surety company as defined in section thirty-four A from any person applying for registration of a motor vehicle.
If you also wanted to know what type of security you could set up instead of an auto insurance policy or bond, MGL Chapter 90 Section 34D also notes that an applicant for registration may, in lieu of procuring a motor vehicle liability bond or policy, deposit with the state treasurer cash in the amount of ten thousand dollars or bonds, stocks or other evidences of indebtedness satisfactory to said treasurer of a market value of not less than ten thousand dollars as security for the payment by such applicant or by any person responsible for the operation of such applicant’s motor vehicle with his express or implied consent of all judgments rendered against such applicant or against such person in actions...
So a surety bond, that the Massachusetts Registry of Motor Vehicles (RMV) and MA Division of Insurance both seem to refer to as a motor vehicle liability bond, is allowable as proof of financial responsibility in MA. The bond though must be for the same amounts as a MA auto insurance policy (certificate). You can get the complete definition of a motor vehicle liability bond and a motor vehicle liability policy if you read through all of MGL Chapter 90 Section 34A.
To get more information on what steps to take to use a surety bond for your motor vehicle instead of an auto insurance policy and perhaps a list of authorized bond dealers in Massachusetts contact the MA Division of Insurance, the insurance regulator for the Commonwealth and/or the RMV.
As for a car insurance policy for MA, click her for quote from an auto insurance specialist.
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