NORFOLK, Va. — A longstanding Virginia law is about to change on July 1. Every driver on the road will be required to have auto insurance. Previously, you could pay a fee to drive without it.

"My arm got jammed, and I had to pay for the damages, and of course, my insurance went up," said Harrell.

New Virginia car insurance law could increase premiums but save you money

Rutter Mills Law Firm says a new law will protect drivers like her.

"What this law is at its core is that it repeals the ability for people to pay a $600 fee to the DMV and drive without auto insurance," said Rutter.

In Virginia, Brother Rutter says about 12% of drivers are uninsured, but it's a penalty in 48 other states. If the uninsured driving fee isn't paid, Rutter says you'd be looking at a class D misdemeanor, loss of license and a court date.

"The reasons to change this make sense when people drive on the road," said Rutter. "They're exposing other people to potential danger."

Companies like Dudley Driving Center in Newport News told me they would have to eat the cost of repairs if an uninsured driver hit one of their vehicles.

"We would have to take it to a mechanic, we don't know how long we would probably be down for," said Dudley. "A lot of mechanics are backed up, so it could hinder not only the business but the average person that's driving every day."


After the law is in effect, there is a chance insuranceholders could see a little extra money in their pocket.

"This is one of those laws that should not change premiums and, over time, should have an effect of bringing premiums down not up," said Rutter.

This is good news for smart drivers, but people who have been involved in crashes might have some difficulty finding an insurance company, however, Rutter Mills says there are lots of companies out there that specifically handle high-risk drivers.

If you don't have insurance following July 1 And cause a crash, penalties like a class 3 misdemeanor and loss of license will still be in place.