When purchasing insurance in Iowa you will be told that the State vehicle system is run by a Tort system. This will mean that when a driver is involved in an accident that only the driver that is found to have caused the accident (and their insurance company) pays for expenses. Iowa law sets the minimum car insurance levels at 20/40/15 which means $20K per injured person for Bodily Injury Liability with a max of $40K per person per accident and $15K for Property Damage Liability. Should you want to cover yourself from damages caused by someone that is not properly insured there is the option of purchasing coverage called Uninsured/Underinsured Motorist Bodily Injury. The cost is small compared to what you’ll pay if in an accident with someone that did not have insurance.
Iowa’s insurance premiums tend to be some of the least expensive insurance rates in the United States. From the years 2000 to 2004 at least 48 other states had higher car insurance rates than Iowa. In 2004 the average collision cost was $200 and the average liability cost was $300. The average annual cost for car insurance was under $600 per year. The car insurance rates for Iowa started trending higher in 2008 but Nationwide, Progressive and Travelers Insurance companies can all give cost effective quotes for Iowa drivers.
Car insurance facts to remember for the state of Iowa are that the average Highway speed is set at 70mph with a speed limit of 55mph set for urban areas. In Iowa neither the passengers nor the driver of a vehicle are allowed to carry or possess open alcohol in the car. If stopped for a DUI or DWI the driver’s license will be suspended for 180 days on the first offense. Only under special circumstances may a license be restored after 90 days of the suspension. There is no ban on cell phone use by adult drivers.
Teenagers in Iowa must now go under the graduated driving system to get their license. At 14 teens may get a driver’s permit that allows them to drive only with a parent. After completing drivers training and classroom time the teen may get an intermediary permit at age 16 which allows them to drive alone during certain hours. After driving 1 year offense free the teen may get a full Iowa drivers license at the age of 17.
