Minimum Car Insurance Requirements, by State
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When it comes time to purchase your first auto insurance policy or renew your current one, do you even know what your state requires you to carry? Or do you rely on the help of your insurance agent, who also makes a commission on everything you add to your policy?
Don’t worry; most people aren’t paying attention to car insurance, perhaps because it’s not the most exciting topic. But you should know that there are minimum car insurance requirements by state. This can make a big difference in your premium. Not to mention it’s important to know if you end up moving to another state.
Meeting the minimum car insurance requirements doesn’t mean you should keep the lowest amount of coverage. It simply means this is the starting point.
Related: Car Insurance Calculator
In this article
Understand the auto coverage types
First, let's explain the types of automobile insurance coverage most states require you to carry.
Bodily injury liability
Often you’ll hear about the liability portion of a policy. But liability insurance is two separate categories: bodily injury and property damage.
Bodily injury liability pays towards someone else’s injury if you’re in a car accident and it’s your fault. It does not pay for your own injuries, which is why most states require it.
This coverage covers you and any family members you have listed on the policy. You’ll sometimes see it listed as “BI.”
Generally speaking, most experts recommend carrying at least $100,000 in bodily injury liability per person, and $300,000 per accident, which is significantly higher than state requirements.
Property damage liability (PD)
Often listed as “PD,” property damage liability covers you for damage you (or someone else who is driving your car with permission) cause to someone else’s property.
Not only does this include damage to someone else’s car, but it also covers damage to property like lamp posts, telephone poles, fences, structures, or buildings that were hit in an accident. Like bodily injury, it doesn’t pay for damage to your own car.
Property damage liability helps cover expenses such as vehicle repair and replacement and damage to buildings, structures, or stationary objects.
And also, like bodily injury liability, you would be wise to look at limits beyond the minimum state requirements.
Medical payments
Although not required by many states, medical payments coverage is an option that contributes payment towards your medical bills not covered by health insurance. This is if you’re injured and require care due to a car accident — no matter who is at fault.
MedPay also covers your family members or any passengers in the car with you at the time of the accident.
MedPay goes towards your medical expenses, such as doctor visits, co-pays, surgeries, rehabilitation, and other aspects of medical care. Some plans also contribute towards lost wages. Think of MedPay as paying for gaps not covered by your health insurance.
Personal injury protection (PIP)
PIP is like medical payments but expanded and has a broader scope of coverage. PIP usually has higher coverage limits, but it’s also more expensive for your policy.
In addition to medical costs, PIP will cover 60-80% of lost wages due to an accident. PIP has higher insurance limits for funeral expenses, rehabilitation, medical payments, and nursing care. PIP is used before your medical payment coverage or health insurance.
Collision
Collision covers you if you’re in an accident with another vehicle and there is damage to your car. It also covers you if you have damage from an object or a pothole or are in an accident by yourself. No matter who is at fault, collision pays to repair or replace your vehicle.
Many experts recommend keeping collision on your policy, even if your car is paid for. The reason is if you’re in an accident with someone else and the accident is your fault, the other person’s liability coverage won’t go towards repairing or replacing your car. Only your collision coverage will help if the accident is ruled your fault.
Comprehensive
Comprehensive coverage covers you when your car is damaged by something other than a vehicle crash. Examples of coverage are when damage occurs from storms, natural disasters, fire, theft, hail, etc.
States don’t require comprehensive coverage. However, if you owe money on your car, the lender will likely require you to have collision coverage on your policy.
Uninsured (UM) and Underinsured (UIM) motorists
Uninsured motorist coverage (UM) covers your medical expenses ( and your passengers) resulting from a hit-and-run driver or a driver who doesn’t have insurance. Be aware that UM doesn’t cover damage to your vehicle.
Underinsured motorists (UIM) cover you when you’re in an accident caused by a driver whose insurance coverage doesn’t meet the state’s minimum requirements.
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Minimum car insurance requirements by state
Let’s jump right in. We’ve compiled this list of each state’s minimum coverage requirement. Once we review this information, we’ll explain the difference between the auto insurance coverage types listed here. These requirements are based on the latest information from the Insurance Information Institute.
State | Requirements |
Alabama | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident |
Alaska | $50,000 BI liability per person, $100,000 BI liability per accident, $25,000 PD liability per accident |
Arizona | $15,000 BI liability per person, $30,000 BI liability per accident, $10,000 PD liability per accident |
Arkansas | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident |
California | $15,000 BI liability per person, $30,000 BI liability per accident, $5,000 PD liability per accident |
Colorado | $25,000 BI liability per person, $50,000 BI liability per accident, $15,000 PD liability per accident |
Connecticut | $25,000 BI liability per person, $50,000 BI liability per accident, $20,000 PD liability per accident, UM, UIM |
Delaware | $25,000 BI liability per person, $50,000 BI liability per accident, $10,000 PD liability per accident, $15,000 PIP |
Florida | $10,000 PD liability per accident, $10,000 PIP |
Georgia | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident |
Hawaii | $20,000 BI liability per person, $40,000 BI liability per accident, $10,000 PD liability per accident, $10,000 PIP |
Idaho | $25,000 BI liability per person, $50,000 BI liability per accident, $15,000 PD liability per accident |
Illinois | $25,000 BI liability per person, $50,000 BI liability per accident, $20,000 PD liability per accident, UM, UIM |
Indiana | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident |
Iowa | $20,000 BI liability per person, $40,000 BI liability per accident, $15,000 PD liability per accident |
Kansas | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, PIP as follows: $4,500 medical expense per person, $900 per month income loss for one year, $25 per day at-home services, $4,500 rehabilitation expense per person, $2,000 funeral expense per person |
Kentucky | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, $10,000 PIP, UM, UIM |
Louisiana | $15,000 BI liability per person, $30,000 BI liability per accident, $25,000 PD liability per accident |
Maine | $50,000 BI liability per person, $100,000 BI liability per accident, $25,000 PD liability per accident, UM, UIM, $2,000 Medical Payments |
Maryland | $30,000 BI liability per person, $60,000 BI liability per accident, $15,000 PD liability per accident, UM, UIM |
Massachusetts | $20,000 BI liability per person, $40,000 BI liability per accident, $5,000 PD liability per accident, $8,000 PIP |
Michigan | $20,000 BI liability per person, $40,000 BI liability per accident, $10,000 PD liability per accident, PIP (unlimited, $1,000,000 for property protection) |
Minnesota | $30,000 BI liability per person, $60,000 BI liability per accident, $10,000 PD liability per accident, UM, UIM |
Mississippi | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident |
Missouri | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, UM |
Montana | $25,000 BI liability per person, $50,000 BI liability per accident, $20,000 PD liability per accident |
Nebraska | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, UM, UIM |
Nevada | $25,000 BI liability per person, $50,000 BI liability per accident, $20,000 PD liability per accident |
New Hampshire | Financial responsibility only, optional insurance: $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, UM, UIM, $1,000 PIP |
New Jersey | $15,000 BI liability per person, $30,000 BI liability per accident, $5,000 PD liability per accident |
New Mexico | $25,000 BI liability per person, $50,000 BI liability per accident, $10,000 PD liability per accident |
New York | $25,000 BI liability per person, $50,000 BI liability per accident, $50,000 liability for death per person, $100,000 liability for death per accident, $10,000 PD liability per accident, $50,000 PIP, UM, UIM |
North Carolina | $30,000 BI liability per person, $60,000 BI liability per accident, $25,000 PD liability per accident, UM, UIM |
North Dakota | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, $30,000 PIP, UM, UIM |
Ohio | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident |
Oklahoma | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident |
Oregon | $25,000 BI liability per person, $50,000 BI liability per accident, $20,000 PD liability per accident, UM, UIM |
Pennsylvania | $15,000 BI liability per person, $30,000 BI liability per accident, $5,000 PD liability per accident |
Rhode Island | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident |
South Carolina | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, UM, UIM |
South Dakota | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, UM, UIM |
Tennessee | $25,000 BI liability per person, $50,000 BI liability per accident, $15,000 PD liability per accident |
Texas | $30,000 BI liability per person, $60,000 BI liability per accident, $25,000 PD liability per accident |
Utah | $25,000 BI liability per person, $65,000 BI liability per accident, $15,000 PD liability per accident |
Vermont | $25,000 BI liability per person, $50,000 BI liability per accident, $10,000 PD liability per accident, UM, UIM |
Virginia | $25,000 BI liability per person, $50,000 BI liability per accident, $20,000 PD liability per accident, UM, UIM |
Washington | $25,000 BI liability per person, $50,000 BI liability per accident, $10,000 PD liability per accident |
West Virginia | $25,000 BI liability per person, $50,000 BI liability per accident, $25,000 PD liability per accident, UM, UIM |
Wisconsin | $25,000 BI liability per person, $50,000 BI liability per accident, $10,000 PD liability per accident, UM, Medpay |
Wyoming | $25,000 BI liability per person, $50,000 BI liability per accident, $20,000 PD liability per accident |
Washington, D.C. | $25,000 BI liability per person, $50,000 BI liability per accident, $10,000 PD liability per accident, UM |
Other common options for auto policies
In addition to the basic auto coverage categories mentioned above, auto insurance companies have options for you to customize your policy further. These options are typically centered around convenience. Coverage options such as:
- Car rental reimbursement
- Rideshare coverage (additional protection if you’re a rideshare driver)
- Glass coverage
- Custom equipment coverage
- Mechanical breakdown
- Personal liability coverage
- Exceptions to the state requirement laws
Do you know how there’s always one group member who likes to do things differently? I suppose you could say the same thing about New Hampshire. New Hampshire is the exception to the minimum car insurance requirements.
In New Hampshire, you’re technically not required to carry auto insurance. However, the state minimum requires you must cover the costs of bodily injury or property damage for any accident you cause. So unless you are financially responsible enough to cover these potentially enormous costs, you’re better off purchasing car insurance.
Virginia is bucking the auto insurance requirement too. However, it’s a little different from New Hampshire. In Virginia, if you choose not to have auto insurance, you must pay a $500 uninsured motorist fee to the DMV each year. Otherwise, you must obtain the minimum liability requirements, which are $25,000 BI liability per person, $50,000 BI liability per accident, and $20,000 PD liability per accident.
Related: KT Williams Insurance Group Review
The bottom line
Knowing the minimum car insurance requirements for your state arms you with more knowledge so you can make better decisions.
While car insurance may not be the most exciting topic to dwell on, it’s important to ensure we know how to purchase it correctly, all while meeting the requirements by law.
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Writer
Sara Coleman is a former corporate gal turned creative entrepreneur. She began writing professionally several years ago and now contributes to multiple websites, blogs, and magazines. She’s also an avid reader and can’t resist a great historical fiction novel. Sara holds a BA in journalism from the University of Georgia and can be found supporting her Bulldogs every chance she has. She resides in Charlotte, North Carolina, with her wonderfully supportive husband and three children. When she’s not ushering her kids to sports and dance lessons, she can be found creating content for her own website, TheProperPen.com.
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