Since 1997 all vehicle identification number (VIN) in Arkansas must match the insurance policy on the States Office of Motor Vehicles database. This is because since 1997, Arkansas started tracking all vehicle liability insurance registered in the state.

Arkansas also requires that all cars have liability insurance. The required minimum liability insurance for bodily injury for one person is $25,000 per accident, $50,000 for bodily injury for two or more persons per accident and $25,000 for property damage per accident. Arkansas requires that drivers carry their insurance card whenever they are driving their car. In case of accident or traffic stop, you are required to present your proof of car insurance for Arkansas to the officer.

Arkansas insurance companies are required by the Office of Motor Vehicles to notify them of all insurance coverage lapses, non-renewal and cancellation. If you no longer have valid insurance, your vehicle registration will be suspended. To reinstate your registration, you have to provide proof of having liability car insurance. In case you will not be driving your vehicle over a period of time and do not want to maintain the registration of your vehicle, you can then cancel your insurance. All you have to do is to inform the Office of Motor Vehicles. In your letter, include your insurance information and VIN.

Compared with the average premiums of other states, the premium of auto insurance in Arkansas is lower. However, there are several factors that can also affect your insurance cost if you have received a ticket, these are: speed limit, highway speed limit, blood alcohol limit, open container law, suspension on DUI and restoration on DUI. By abiding with the state laws, you can actually receive lower car insurance rates.