Mandatory Insurance Quiz

Confirm understanding of continuous coverage obligations.

Multiple Choice

#

Insurance minimums exist to:

Provide baseline liability protection

Increase traffic congestion

Eliminate deductibles

Replace safe driving practices

Guarantee compensation capacity.

#

Coverage lapse risk includes:

Fines and registration impacts

Free roadside service

Automatic policy upgrade

Guaranteed lower premiums

Legal/financial penalties.

#

Proof of insurance may be required during:

Traffic stop

Registration process

Private social event

Music concert

Submit

Operational context only.

#

Good continuous coverage strategy:

Enable automatic payments

Ignore renewal notices

Cancel policy early

Hide insurer contact info

Reduces lapse risk.

#

Post-incident early action:

Document details & notify insurer

Leave without exchanging info

Delay reporting indefinitely

Modify scene evidence

Accurate, timely documentation.

True / False

#

Mandatory insurance eliminates need for safe driving.

False

True

Safety still essential.

#

Lapses can raise future premiums.

True

False

Higher risk profile.

#

Accident documentation helps claim processing.

True

False

Supports accurate settlement.

#

Proof can be digital in many contexts.

True

False

Digital acceptance growing.

#

Ignoring a lapse notice has no consequence.

False

True

Potential penalties.

Scenario / Think & Reveal

1. Received lapse warning letter.

Verify payment status; reinstate immediately; confirm auto-pay.

2. Minor collision; other driver requests proof.

Provide insurance card, exchange contact and policy details.

3. Unsure if coverage limits adequate.

Review policy declarations; consult agent for recommended adjustments.

4. Changed address recently.

Update insurer to ensure notices reach you.

5. Considering canceling before replacement active.

Avoid gap; secure new policy first to prevent lapse penalties.

Reinforce continuity strategies.