What do you do when you get pulled over for no car insurance and car gets impounded?

First, there was some other reason you were pulled over, they had no way of knowing you didn't have insurance. Depending on the laws in your state, you may lose your license, you will most likely get a ticket for it. You may have to get insurance before they will release your car. Pay the towing and impound fees. You could easily end up paying $500 to get your car back and unless you have a lot of tickets, that would have paid for more than a years insurance. It's almost always better and cheaper to play by their rules. Been there, done that.