Auto insurance is not mandatory in New Hampshire. While you may feel this is a good thing because if you cannot afford it, you can just not buy it, it can be a very bad thing if you were to cause an auto accident. The expenses from an accident can devastate your finances, and insurance is the best way to protect yourself. Unfortunately, the insurance system as it is set up is not very consumer-friendly, but changes to the system could make it easier and more affordable to get insurance, which might prompt you to ensure you have coverage.
Forbes explains that the way current auto insurance companies operate is that it is all or nothing. You either have coverage on your vehicle or you do not. The company generally factors your costs by looking at you and other drivers in your household. They operate on the assumption that if a vehicle is available then every driver has the opportunity to drive it, even if that is not how things work in your house.
In addition, if you have three vehicles, the insurer wants to insure all three, even if one of those sits idle due to a breakdown or other reason. This only adds to your overall insurance costs, and it does not make sense.
There is a movement to award drivers for good driving behavior and also to only require insurance on vehicles in use. Doing these two things could hep reduce costs greatly. As it is, many drivers are paying for others mistakes, which is unfair and costly. This information is for education and is not legal advice.