What Motivates So Many People to Drive Uninsured?

Jeff Ryan - CLU, ChFC, AIA, CIC, CPCU

November 2, 2022

It Is Not a Risk You Should Be Willing to Take

After over nearly 40 years as a licensed insurance agent, I think the reasons for a person driving uninsured falls into a couple of categories:

Sticking it to the man:
Many people who are averse to the government telling them what they must buy. Enough said?
Poor financial management:
It is incredible to me the number of people who do not open their mail. Or, those who do not have a method for managing and paying their bills.
More pressing financial priorities (The majority of uninsured may fall into this category)
When the decision to pay for car insurance versus those things that carry more importance, perceived urgency, or consequence (food, heat, debt, drugs) gets paid first.

Number three (3) may be the most significant reason so many drivers become uninsured in the US.

The Insurance Information Institute website charts that the highest percentage of uninsured motorists are in Florida and Mississippi. The lowest number of uninsured motorists are in Maine and New York [1].

As a resident and insurance agent in New York, I can speak to the significant consequences one faces if your car is left uninsured.

Here’s what an uninsured driver has to deal with in New York if they let their car insurance lapse:

[2] Civil Penalties of $8 to $12 per day for each day insurance is not in effect on the vehicle.
Suspension of vehicle registration.
Suspension of driver’s license.
Inability to sell or transfer the title for the car.

An insurance lapse in New York comes with stiff fines, penalties, and consequences.

I know of many instances where people’s cars have been towed straight away from the side of the road after a citation by police when found they do not have proper insurance. Recovery of their impounded vehicle requires all fines and penalties be satisfied.

It doesn’t take long for citizens to learn that paying your auto insurance premium is not something you want to mess with. As a result, New York has some of the highest auto insurance compliance in the United States.

My guess is that uninsured drivers in Florida, Mississippi, New Mexico, Michigan, and Tennessee do not face the same kind of potential consequences.

About the Author: Jeff Ryan has been a licensed insurance agent since 1978, later becoming a full-time insurance professional in 1983. Since then, he has been the principal of The Ryan Agencies with offices in Hornell, Jasper, and Wellsville. The agencies serve approximately 15,000 clients in New York and Pennsylvania. Jeff holds numerous credentials including the Chartered Property & Casualty Underwriter (CPCU), Certified Insurance Counselor (CIC), Accredited Advisor in Insurance (AAI), Chartered Life Underwriter (CLU), and Chartered Financial Consultant (ChFC) designations. He holds a Master's Degree from the American College. Jeff enjoys writing about all things insurance and welcomes your questions and feedback.

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Auto Rates and Finger Prints: Both are Unique to You!

By Jeff Ryan • April 7, 2026

Factors You Can’t Easily Control These factors are built into your profile, but still play a major role: Your location: Claim trends, traffic, and weather patterns where you principally drive. Your age and driving experience: Especially for younger drivers. Other drivers in your household: Their age and driving history. The vehicle you own: Unique to the Year, Make, Model, and Sub-model’s damageability and cost of parts/labor. These factors significantly influence price differences, but they don’t tell the whole story. Factors You Can Control This is where habits and wise decisions can make a real difference: Your driving habits: Minimizing tickets and accidents can have a direct impact. Your coverage choices: Liability limits, deductibles, and optional coverages can vary widely. Your insurance consistency: Avoiding lapses in coverage. Your annual mileage: How much and how often you drive. Discount opportunities: Bundling, pay-in-full, NYS defensive driving course. Your Insurance Score (Yes—You Can Influence It) Insurance companies use a credit-based insurance score as part of their rating process. While it’s based on financial behaviors, it is not permanent—and it can be improved over time. Simple habits like: Paying bills on time Reducing outstanding debt Avoiding excessive credit inquiries… can positively impact your score—and in turn, your insurance rates. Your insurance score is under your control and a worthy mid to long-term project in and of itself. For more information on what you can do to positively influence your score, see: Great 8 Tip #8 - What's Credit Got to Do with Insurance? How Can I Improve My Auto Insurance Score Why Comparing Rates Doesn’t Work When someone says, “I only pay…” , the uniqueness of their fingerprint is missing. What are their: Deductibles Driving history Insurance score Household profile Coverage limits: what they may be giving up in terms of protection. Price without context can be misleading and discouraging.