Car Insurance Laws by State: Everything You Need to Know

Car insurance is a legal requirement in almost all states in the United States. Each state has its own unique set of car insurance laws and regulations. It is important to understand your state’s car insurance laws, as they can differ significantly from state to state. In this comprehensive guide, we will take a closer look at the car insurance laws by state, covering everything from minimum coverage requirements to penalties for driving without insurance.

Car Insurance Laws by State: What You Need to Know

Before we dive into the specifics of each state’s car insurance laws, let’s start by looking at some of the common questions surrounding car insurance.

1. What is car insurance?

Car insurance is a contract between you and your insurance company that protects you financially in the event of an accident or theft. In exchange for paying premiums, your insurance company will agree to pay for any damages or losses to your vehicle or others involved in the accident, up to the limits of your policy.

2. Is car insurance mandatory in all states?

Yes, car insurance is mandatory in almost all states. Exceptions include New Hampshire and Virginia, where drivers can choose to either purchase liability insurance or pay an uninsured motorist fee.

3. What is liability insurance?

Liability insurance is the most common type of car insurance, and it is required in all states that mandate car insurance. Liability insurance covers you in the event that you cause an accident that results in property damage or bodily injury to others. The coverage typically includes both bodily injury liability (BIL) and property damage liability (PDL).

4. What are the minimum car insurance requirements by state?

The minimum car insurance requirements vary by state. Some states require only liability insurance, while others require additional coverage such as uninsured/underinsured motorist coverage, personal injury protection, or collision/comprehensive coverage. See below for a breakdown of the minimum car insurance requirements by state.

5. What happens if I drive without car insurance?

Driving without car insurance is illegal in almost all states. If you are caught driving without insurance, you may face fines, license suspension, and even jail time in some cases. In addition, if you cause an accident while driving without insurance, you may be personally liable for all damages and injuries resulting from the accident.

6. What factors affect the cost of car insurance?

The cost of car insurance varies based on a number of factors, including your driving record, age, gender, location, type of vehicle, and credit score. Generally speaking, drivers with a clean driving record and good credit score pay less for car insurance than those with a poor driving record and low credit score.

7. How can I save money on car insurance?

There are several ways to save money on car insurance, including shopping around for the best rates, bundling your insurance policies, raising your deductible, and taking advantage of discounts for things like safe driving, good grades, and military service.

Minimum Car Insurance Requirements by State

As mentioned earlier, the minimum car insurance requirements vary by state. Below is a breakdown of the minimum requirements for each state.

Alabama

In Alabama, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person and $50,000 per accident, as well as $25,000 in property damage liability.

Alaska

In Alaska, drivers are required to have liability insurance that covers at least $50,000 in bodily injury liability per person and $100,000 per accident, as well as $25,000 in property damage liability.

Arizona

In Arizona, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person and $50,000 per accident, as well as $15,000 in property damage liability.

Arkansas

In Arkansas, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person and $50,000 per accident, as well as $25,000 in property damage liability.

California

In California, drivers are required to have liability insurance that covers at least $15,000 in bodily injury liability per person, $30,000 per accident, and $5,000 in property damage liability.

Colorado

In Colorado, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $15,000 in property damage liability.

Connecticut

In Connecticut, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Delaware

In Delaware, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability.

Florida

In Florida, drivers are required to have liability insurance that covers at least $10,000 in personal injury protection (PIP) and $10,000 in property damage liability.

Georgia

In Georgia, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Hawaii

In Hawaii, drivers are required to have liability insurance that covers at least $20,000 in bodily injury liability per person, $40,000 per accident, and $10,000 in property damage liability.

Idaho

In Idaho, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $15,000 in property damage liability.

Illinois

In Illinois, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $20,000 in property damage liability.

Indiana

In Indiana, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Iowa

In Iowa, drivers are required to have liability insurance that covers at least $20,000 in bodily injury liability per person, $40,000 per accident, and $15,000 in property damage liability.

Kansas

In Kansas, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Kentucky

In Kentucky, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability.

Louisiana

In Louisiana, drivers are required to have liability insurance that covers at least $15,000 in bodily injury liability per person, $30,000 per accident, and $25,000 in property damage liability.

Maine

In Maine, drivers are required to have liability insurance that covers at least $50,000 in bodily injury liability per person, $100,000 per accident, and $25,000 in property damage liability.

Maryland

In Maryland, drivers are required to have liability insurance that covers at least $30,000 in bodily injury liability per person, $60,000 per accident, and $15,000 in property damage liability.

Massachusetts

In Massachusetts, drivers are required to have liability insurance that covers at least $20,000 in bodily injury liability per person, $40,000 per accident, and $5,000 in property damage liability.

Michigan

In Michigan, drivers are required to have no-fault insurance that covers at least $50,000 in personal injury protection (PIP) per person, as well as property damage liability.

Minnesota

In Minnesota, drivers are required to have liability insurance that covers at least $30,000 in bodily injury liability per person, $60,000 per accident, and $10,000 in property damage liability.

Mississippi

In Mississippi, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Missouri

In Missouri, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability.

Montana

In Montana, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $20,000 in property damage liability.

Nebraska

In Nebraska, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Nevada

In Nevada, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $20,000 in property damage liability.

New Hampshire

New Hampshire does not require drivers to have car insurance, but drivers are still financially responsible for any damages or injuries they cause in an accident.

New Jersey

In New Jersey, drivers are required to have liability insurance that covers at least $15,000 in bodily injury liability per person, $30,000 per accident, and $5,000 in property damage liability.

New Mexico

In New Mexico, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability.

New York

In New York, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability.

North Carolina

In North Carolina, drivers are required to have liability insurance that covers at least $30,000 in bodily injury liability per person, $60,000 per accident, and $25,000 in property damage liability.

North Dakota

In North Dakota, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Ohio

In Ohio, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Oklahoma

In Oklahoma, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Oregon

In Oregon, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $20,000 in property damage liability.

Pennsylvania

In Pennsylvania, drivers are required to have liability insurance that covers at least $15,000 in bodily injury liability per person, $30,000 per accident, and $5,000 in property damage liability.

Rhode Island

In Rhode Island, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

South Carolina

In South Carolina, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

South Dakota

In South Dakota, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Tennessee

In Tennessee, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $15,000 in property damage liability.

Texas

In Texas, drivers are required to have liability insurance that covers at least $30,000 in bodily injury liability per person, $60,000 per accident, and $25,000 in property damage liability.

Utah

In Utah, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $65,000 per accident, and $15,000 in property damage liability.

Vermont

In Vermont, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability.

Virginia

Virginia allows drivers to either purchase liability insurance or pay an uninsured motorist fee.

Washington

In Washington, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability.

West Virginia

In West Virginia, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $25,000 in property damage liability.

Wisconsin

In Wisconsin, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability.

Wyoming

In Wyoming, drivers are required to have liability insurance that covers at least $25,000 in bodily injury liability per person, $50,000 per accident, and $20,000 in property damage liability.

It is important to note that the minimum car insurance requirements by state are just that – the minimum. In many cases, it is a good idea