AutoInsurance.com
Published: January 10, 2022Last updated: October 19, 2022

Where Is Car Insurance Mandatory?

Unless you live in Virginia or New Hampshire, car insurance is mandated by law.

Find The Right Insurance

Let our Perfect Policy Connectors do the work for you!

Auto Insurancephone-icon(855) 909-2474Request a free quote

Drivers in 48 out of the 50 states in the U.S. are legally required to have car insurance. This makes car insurance different from other types of insurance, including health and life insurance, which are not legally required. However, the exact requirements on coverages you need and the minimum limits vary by state. Read on to find out about the minimum mandatory coverage in your state.

Where Is Car Insurance Mandatory?

Where is car insurance mandatory?

Every state but Virginia and New Hampshire requires drivers to have auto insurance for any owned or leased vehicles. So if you want to drive, you’ll need to purchase car insurance that meets each state’s insurance laws.

Light BulbFYI

In every state except New Mexico, you’ll be able to show your proof of financial responsibility on your phone through a digital card.1

Why Is Car Insurance Mandatory?

One of the most frequently asked car insurance questions we get is “Why is car insurance mandatory?” If you didn’t have car insurance and you got into an at-fault accident, you’d be financially responsible for:

  • Bodily injuries
  • Property damage
    Lost wages
    Medical payments

Since repair and healthcare costs are expensive and can be up to tens of thousands of dollars, the average person doesn’t have this money to pay these costs out of pocket. That’s where car insurance comes in. By paying regular premiums and your deductible, your insurance policy will cover you up to the limits you’ve selected. Car insurance protects everyone, both the driver and the other people involved in the accident, to “become whole” again, and pay minimal money out of pocket in at-fault accidents.

Light BulbTIP

Instead of the minimum amount of coverage, we recommend getting full coverage, which includes bodily injury liability, property damage liability, collision and comprehensive coverage, uninsured motorist coverage, and medical payments coverage.

Minimum Requirements by State

Here are the exact minimum liability requirements by state:

State Minimum per person limit, bodily injury liability coverage Minimum per accident limit, bodily injury liability coverage Minimum per accident limit, property damage liability coverage Minimum per person, medical payments or personal injury protection (PIP) coverage Minimum per accident, medical payments or personal injury protection (PIP) coverage Minimum per person, uninsured/underinsured motorist coverage Minimum per accident, uninsured/underinsured motorist coverage More required coverages
Alabama $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
Alaska $50,000 $100,000 $25,000 Not required Not required Not required Not required Not required
Arizona $25,000 $50,000 $15,000 Not required Not required Not required Not required Not required
Arkansas $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
California $15,000 $30,000 $5,000 Not required Not required Not required Not required Not required
Colorado $25,000 $50,000 $15,000 Not required Not required Not required Not required Not required
Connecticut $25,000 $50,000 $25,000 Not required Not required $25,000 $50,000 Not required
Delaware $25,000 $50,000 $10,000 $15,000 $30,000 Not required Not required Not required
District of Columbia $25,000 $50,000 $10,000 Not required Not required $25,000 $50,000 Not required
Florida Not required Not required $10,000 $10,000 $10,000 Not required Not required Not required
Georgia $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
Hawaii $20,000 $40,000 $10,000 $10,000 $10,000 Not required Not required Not required
Idaho $25,000 $50,000 $15,000 Not required Not required $25,000 $50,000 Not required
Illinois $25,000 $50,000 $20,000 Not required Not required $25,000 $50,000 Not required
Indiana $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
Iowa $20,000 $40,000 $15,000 Not required Not required Not required Not required Not required
Kansas $25,000 $50,000 $25,000
  • $4,500 for medical expenses
  • $9,000 a month for a year of disability/loss of income
  • $25 a day for in-home services
  • $2,000 for funeral, cremation, or burial expenses
  • $4,500 for rehabilitation expenses
Not required $25,000 $50,000 Survivors benefits, including up to $900 per month for a year for disability or loss of income and $25 per day for in-home services
Kentucky $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
Louisiana $15,000 $30,000 $25,000 Not required Not required Not required Not required Not required
Maine $50,000 $100,000 $25,000 $2,000 Not required $50,000 $100,000 Not required
Maryland $30,000 $60,000 $15,000 Not required Not required $30,000 $60,000 $15,000 uninsured/underinsured property damage coverage per accident
Massachusetts $20,000 $40,000 $5,000 $8,000 $8,000 $20,000 $40,000 Not required
Michigan $50,000 $100,000 $1 million within MI;$10,000 outside MI
  • State will pay all necessary medical expenses and lost wages, plus $20 per day in replacement services in some cases
  • $250,000, lower if enrolled in Medicare
Not required Not required Not required Not required
Minnesota $30,000 $60,000 $10,000 $40,000 Not required $25,000 $50,000 Not required
Mississippi $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
Missouri $25,000 $50,000 $25,000 Not required Not required $25,000 $50,000 Not required
Montana $25,000 $50,000 $20,000 Not required Not required Not required Not required Not required
Nebraska $25,000 $50,000 $25,000 Not required Not required $25,000 $50,000 Not required
Nevada $25,000 $50,000 $20,000 Not required Not required Not required Not required Not required
New Hampshire Not required Not required Not required Not required Not required Not required Not required Not required
New Jersey Not required Not required $5,000 $15,000 $15,000 Not required Not required Not required
New Mexico $25,000 $50,000 $10,000 Not required Not required Not required Not required Not required
New York $25,000 $50,000 $10,000 $50,000 Not required $25,000 $50,000 $50,000 for death of one person in an accident or $100,000 for death of two or more people in an accident
North Carolina $30,000 $60,000 $25,000 Not required Not required $30,000 $60,000 $25,000 uninsured motorist property damage coverage per accident
North Dakota $25,000 $50,000 $25,000 $30,000 Not required $25,000 $50,000 Not required
Ohio $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
Oklahoma $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
Oregon $25,000 $50,000 $20,000 $15,000 Not required $25,000 $50,000 Not required
Pennsylvania $15,000 $30,000 $5,000 $5,000 $5,000 Not required Not required Limited or full tort coverage
Rhode Island $25,000 $50,000 $25,000 Not required Not required Not required Not required Not required
South Carolina $25,000 $50,000 $25,000 Not required Not required $25,000 $50,000 $25,000 uninsured motorist property damage coverage
South Dakota $25,000 $50,000 $25,000 Not required Not required $25,000 $50,000 Not required
Tennessee $25,000 $50,000 $15,000 Not required Not required Not required Not required Not required
Texas $30,000 $60,000 $25,000 Not required Not required Not required Not required Not required
Utah $25,000 $65,000 $15,000 $3,000 $3,000 Not required Not required Not required
Vermont $25,000 $50,000 $10,000 Not required Not required $50,000 $100,000 $10,000 uninsured/underinsured motorist property damage coverage per accident
Virginia Not required if you pay the uninsured motor vehicle fee Not required if you pay the uninsured motor vehicle fee Not required if you pay the uninsured motor vehicle fee Not required if you pay the uninsured motor vehicle fee Not required if you pay the uninsured motor vehicle fee Not required if you pay the uninsured motor vehicle fee Not required if you pay the uninsured motor vehicle fee Not required if you pay the uninsured motor vehicle fee
Washington $25,000 $50,000 $10,000 Not required Not required Not required Not required Not required
West Virginia $25,000 $50,000 $25,000 Not required Not required $25,000 $50,000 $25,000 uninsured motorist property damage coverage
Wisconsin $25,000 $50,000 $10,000 Not required Not required $25,000 $50,000 Not required
Wyoming $25,000 $50,000 $20,000 Not required Not required Not required Not required Not required

Light BulbDID YOU KNOW?

Car insurance in the Sunshine State is among the most expensive in the country, partially due to the minimum car insurance requirements in Florida.

States That Don’t Require Car Insurance

States that don't require car insurance

If you live in Virginia or New Hampshire, you don’t need to buy car insurance. However, you won’t get off completely scot-free.

Virginia

In Virginia, if you lack auto insurance, you’ll need to pay a $500 uninsured motorist vehicle fee to the DMV.2

New Hampshire

While you won’t have to pay a similar fee in New Hampshire, you’ll need to prove that you can meet the New Hampshire Motor Vehicle Financial Responsibility Requirements before driving your car3. If you’re at fault in a car accident in the state, you’ll be responsible for a minimum of $25,000 in bodily injuries and property damages per accident.4

Recap

If you’ve found out your state’s minimum requirements, it’s time to compare quotes from multiple car insurance companies to find the best coverage for your car. Again, to be covered against car theft, car vandalism, and other damages not included in minimum coverage, opt for full coverage. After all, in the event of an accident, you don’t want to pay for damages out of pocket, and minimum liability insurance doesn’t include all necessary types of coverage.

Citations

  1. Is An Electronic Insurance Card Valid? Allstate. (2019, Nov).
    https://www.allstate.com/tr/car-insurance/electronic-insurance-card.aspx

  2. Insurance Requirements. Virginia Department of Motor Vehicles. (2021).
    https://www.dmv.virginia.gov/vehicles/#insurance.asp

  3. Your Guide to Understanding Auto Insurance in the Granite State. nh.gov.
    https://www.nh.gov/insurance/consumers/documents/nh_auto_guide.pdf

  4. TITLE XXI MOTOR VEHICLES. The General Court of New Hampshire. (1982, Jan 1).
    http://www.gencourt.state.nh.us/rsa/html/xxi/264/264-mrg.htm