State-by-State Guide to Minimum Car Insurance Requirements in the USA

Car insurance is required by law in every state in the USA, but the minimum coverage and rules vary significantly depending on where you live. Understanding your state’s requirements is crucial not only to comply with the law but also to ensure you’re financially protected in the event of an accident. In this state-by-state guide, we’ll break down the minimum car insurance requirements for each state, highlighting what you need to have in place before hitting the road.

What Are the Minimum Car Insurance Requirements?

Before we dive into the specifics of each state, it’s important to understand the three primary components that typically make up minimum car insurance requirements:

1. Liability Insurance: Covers the other driver’s injuries or property damage if you’re at fault in an accident. It’s split into two main types:
   • Bodily Injury Liability (BI): Covers medical expenses, lost wages, and legal fees for the other driver and passengers in the event you’re found at fault.
   • Property Damage Liability (PD): Pays for repairs to the other driver’s vehicle or property if you cause the accident.
2. Personal Injury Protection (PIP) or Medical Payments (MedPay): Some states require PIP or MedPay, which helps cover medical bills for your injuries, regardless of fault.
3. Uninsured/Underinsured Motorist Coverage: This protects you if the other driver is uninsured or doesn’t have enough insurance to cover your damages.

While all states require some form of liability insurance, the specific limits, additional coverages, and rules vary greatly by state.

State-by-State Minimum Car Insurance Requirements

1. Alabama

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $25,000 per accident
• Other Requirements: None

Alabama’s requirements are straightforward, and while PIP is not required, drivers may still choose to add it for extra protection.

2. Alaska

• Bodily Injury Liability: $50,000 per person / $100,000 per accident
• Property Damage Liability: $25,000 per accident
• Other Requirements: None

Alaska’s requirements include higher bodily injury coverage than some other states. Uninsured/underinsured motorist coverage is not required but can be added.

3. Arizona

• Bodily Injury Liability: $15,000 per person / $30,000 per accident
• Property Damage Liability: $10,000 per accident
• Other Requirements: None

Arizona’s requirements are lower than many states, but you can opt to add extra coverage like PIP or uninsured motorist protection for better security.

4. Arkansas

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $25,000 per accident
• Other Requirements: None

Arkansas follows the standard liability limits and does not require PIP. However, uninsured motorist coverage is recommended.

5. California

• Bodily Injury Liability: $15,000 per person / $30,000 per accident
• Property Damage Liability: $5,000 per accident
• Other Requirements: None

California has lower limits for property damage liability, which might not fully cover repairs if you cause a serious accident. Uninsured motorist coverage is optional but advised, especially in a state with a large number of uninsured drivers.

6. Colorado

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $15,000 per accident
• Other Requirements: None

Colorado’s limits are relatively average, and you have the option to add optional coverage like PIP or uninsured motorist coverage.

7. Florida

• Personal Injury Protection (PIP): $10,000 (no-fault state)
• Property Damage Liability: $10,000 per accident
• Other Requirements: None

Florida operates as a no-fault state, meaning that PIP is mandatory for all drivers. If you’re involved in an accident, your PIP coverage will pay for your own medical expenses regardless of who caused the crash.

8. Georgia

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $25,000 per accident
• Other Requirements: None

Georgia requires standard liability coverage, and although not mandatory, uninsured motorist coverage is highly recommended due to the number of uninsured drivers on the roads.

9. Hawaii

• Bodily Injury Liability: $20,000 per person / $40,000 per accident
• Property Damage Liability: $10,000 per accident
• Other Requirements: PIP required

Hawaii is another no-fault state, so drivers must carry Personal Injury Protection (PIP) to cover their own injuries, regardless of fault.

10. Idaho

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $15,000 per accident
• Other Requirements: None

Idaho’s requirements are similar to most other states, and uninsured motorist coverage is an option but not required.

11. Illinois

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $20,000 per accident
• Other Requirements: None

Illinois requires standard minimum coverage for all vehicles but does not mandate PIP or uninsured motorist coverage.

12. Indiana

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $25,000 per accident
• Other Requirements: None

Indiana follows standard coverage limits similar to other states and recommends adding additional coverage options like uninsured motorist insurance.

13. Iowa

• Bodily Injury Liability: $20,000 per person / $40,000 per accident
• Property Damage Liability: $15,000 per accident
• Other Requirements: None

Iowa does not require PIP, but it’s often recommended for additional protection.

14. Kansas

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $25,000 per accident
• Other Requirements: PIP required (no-fault state)

Kansas is a no-fault state, so Personal Injury Protection (PIP) is mandatory for all drivers. This ensures that your medical expenses are covered regardless of fault.

15. Kentucky

• Bodily Injury Liability: $25,000 per person / $50,000 per accident
• Property Damage Liability: $10,000 per accident
• Other Requirements: PIP required (no-fault state)

Kentucky requires PIP for all drivers, as it is another no-fault state. This means your own medical expenses are covered by your insurance after an accident.

16. Louisiana

• Bodily Injury Liability: $15,000 per person / $30,000 per accident
• Property Damage Liability: $25,000 per accident
• Other Requirements: None

Louisiana’s liability limits are on the lower end, which may not cover all expenses in the event of a serious accident. Uninsured motorist coverage is strongly recommended.

17. Maine

• Bodily Injury Liability: $50,000 per person / $100,000 per accident
• Property Damage Liability: $25,000 per accident
• Other Requirements: None

Maine’s requirements are more generous in terms of bodily injury liability coverage compared to other states.

How to Use This Guide

Understanding your state’s minimum car insurance requirements is only the first step. You should always review the actual cost of coverage and how much protection you need to avoid significant financial risks. While meeting the minimum required by your state is important, it may not be enough to fully protect you in the event of an accident.

Consider talking to your insurance agent about increasing coverage for both liability and medical protection. Many experts recommend carrying higher limits for both bodily injury and property damage, as the minimum requirements may not be sufficient in the case of an accident involving significant medical bills or vehicle repair costs.

Conclusion: Stay Legal and Protected

Every state in the USA has its own set of minimum car insurance requirements, so it’s essential to know what your state mandates. This ensures you comply with the law and helps protect you financially in case of an accident. However, depending on your personal circumstances, you may want to consider additional coverage beyond the state minimums for extra peace of mind.

Call to Action: Not sure if you’re meeting your state’s minimum requirements? Get a free quote today and find out how much more protection you could get for a small increase in your premium!