Besides the substantial savings, there would be greater equity. A retired couple driving five thousand miles per year now pays almost the same premium as a salesperson driving fifty thousand miles. Under social insurance the one who drives ten times more pays ten times more. Most states already share driving offense records, so any increased cost associated with special-risk drivers would be paid by those drivers when renewing their car registrations or driver's licenses. People who currently choose to drive without insurance would have no choice but to pay, and the social parasitism of the uninsured motorist would be eliminated.
Most accidents are just that, accidents.
They are a predictable consequence of using a dangerous mode of transportation. Further savings in insurance premiums could be realized by eliminating the current fault system of auto insurance. Fifteen percent of the single-vehicle accidents were motorcycle accidents, which are usually catastrophic. Such accidents are, under current insurance coverage, usually uncompensated.ix Under no-fault insurance, the settlements to the injured are larger and the payments are prompter. However, the U.S. Department of Transportation reported that under fault insurance only 40.5 percent of claims were settled within ninety days, and only 57.6 percent were settled within 180 days.