Auto insurance is a legal requirement in most U.S. states, but the rules and minimum coverage amounts vary depending on where you live. Every state sets its own laws for how much insurance drivers must carry to operate a vehicle legally. These minimums are designed to ensure that if you cause an accident, you have at least some financial protection to cover injuries or property damage.
This guide explains the basics of minimum auto insurance coverage, why the requirements vary, and a state-by-state breakdown of what you need to know.
Why Minimum Coverage Exists
Auto insurance minimums exist to protect both drivers and accident victims. Without minimum insurance requirements, some drivers might be uninsured, which would make it harder for victims to receive compensation. The coverage ensures that:
- Medical costs for injuries are at least partially covered.
- Damages to vehicles or property can be repaired or replaced.
- Financial responsibility isn’t completely on one driver without insurance.
The Main Types of Required Coverage
While requirements vary by state, most minimum insurance policies include the following types of coverage:
1. Bodily Injury Liability (BI)
- Covers medical costs for injuries you cause to others.
- Shown as two numbers, for example: 25/50 ($25,000 per person, $50,000 per accident).
2. Property Damage Liability (PD)
- Pays for repairs if you damage someone else’s vehicle or property.
3. Personal Injury Protection (PIP) or Medical Payments (MedPay)
- Required in some states.
- Covers medical bills for you and your passengers, regardless of who caused the accident.
4. Uninsured/Underinsured Motorist Coverage (UM/UIM)
- Required in certain states.
- Protects you if you’re hit by a driver who doesn’t have insurance or doesn’t have enough coverage.
5. No-Fault Insurance
- Required in no-fault states.
- Your own insurance pays for medical expenses after an accident, no matter who caused it.
Why Coverage Minimums Differ by State
Every state balances affordability with protection. States with higher accident rates or medical costs often require higher minimums. Other states may set lower limits to keep insurance affordable, but that can leave drivers more financially exposed after a major accident.
State-by-State Minimum Auto Insurance Requirements
Here’s a breakdown of the minimum required coverage in each state (rounded to the most common policy types). Some states also allow drivers to post a bond or other proof of financial responsibility instead of insurance.
Alabama
- 25/50/25 (BI/PD)
Alaska
- 50/100/25 (BI/PD)
Arizona
- 25/50/15 (BI/PD)
Arkansas
- 25/50/25 (BI/PD)
California
- 15/30/5 (BI/PD)
Colorado
- 25/50/15 (BI/PD)
Connecticut
- 25/50/25 (BI/PD)
- UM/UIM: 25/50
Delaware
- 25/50/10 (BI/PD)
- PIP: $15,000
Florida
- Property Damage: 10,000
- PIP: 10,000
Georgia
- 25/50/25 (BI/PD)
Hawaii
- 20/40/10 (BI/PD)
- PIP: 10,000
Idaho
- 25/50/15 (BI/PD)
Illinois
- 25/50/20 (BI/PD)
- UM: 25/50
Indiana
- 25/50/25 (BI/PD)
Iowa
- 20/40/15 (BI/PD)
Kansas
- 25/50/25 (BI/PD)
- PIP: minimums required
Kentucky
- 25/50/25 (BI/PD)
- PIP: 10,000
Louisiana
- 15/30/25 (BI/PD)
Maine
- 50/100/25 (BI/PD)
- UM/UIM: 50/100
Maryland
- 30/60/15 (BI/PD)
- UM/UIM: 30/60/15
- PIP required
Massachusetts
- 20/40/5 (BI/PD)
- PIP: 8,000
- UM/UIM: 20/40
Michigan
- PIP: unlimited or options based on law
- PD: 10,000
- BI: 50/100/10
Minnesota
- 30/60/10 (BI/PD)
- PIP: minimum required
- UM/UIM: 25/50
Mississippi
- 25/50/25 (BI/PD)
Missouri
- 25/50/25 (BI/PD)
- UM: 25/50
Montana
- 25/50/20 (BI/PD)
Nebraska
- 25/50/25 (BI/PD)
- UM/UIM: 25/50
Nevada
- 25/50/20 (BI/PD)
New Hampshire
- Insurance not required if you prove financial responsibility.
- If insured: 25/50/25 (BI/PD)
- UM/UIM: 25/50
New Jersey
- Basic policy: 10/10/5 (BI/PD)
- PIP: minimum required
New Mexico
- 25/50/10 (BI/PD)
New York
- 25/50/10 (BI/PD)
- PIP: 50,000
- UM: 25/50
North Carolina
- 30/60/25 (BI/PD)
- UM/UIM required
North Dakota
- 25/50/25 (BI/PD)
- PIP: 30,000
- UM/UIM: 25/50
Ohio
- 25/50/25 (BI/PD)
Oklahoma
- 25/50/25 (BI/PD)
Oregon
- 25/50/20 (BI/PD)
- PIP: 15,000
- UM/UIM: 25/50
Pennsylvania
- 15/30/5 (BI/PD)
- PIP: 5,000 minimum
Rhode Island
- 25/50/25 (BI/PD)
South Carolina
- 25/50/25 (BI/PD)
- UM: 25/50
South Dakota
- 25/50/25 (BI/PD)
- UM/UIM: 25/50
Tennessee
- 25/50/25 (BI/PD)
Texas
- 30/60/25 (BI/PD)
Utah
- 25/65/15 (BI/PD)
- PIP: 3,000 minimum
Vermont
- 25/50/10 (BI/PD)
- UM/UIM: 50/100
Virginia
- 30/60/20 (BI/PD)
Washington
- 25/50/10 (BI/PD)
West Virginia
- 25/50/25 (BI/PD)
- UM/UIM required
Wisconsin
- 25/50/10 (BI/PD)
- UM: 25/50
Wyoming
- 25/50/20 (BI/PD)
Key Things to Remember
- Minimums are not always enough: Just because a state requires a certain amount of coverage doesn’t mean it’s enough to protect you financially. Medical bills and car repair costs can exceed minimum coverage quickly.
- Higher coverage is often smarter: Many experts recommend getting at least 100/300/100 for BI/PD, even if your state requires less.
- No-fault vs. at-fault states: In no-fault states, your own insurance pays first for medical expenses. In at-fault states, the driver responsible pays.
Final Thoughts
Understanding your state’s minimum auto insurance requirements is important, but meeting the legal minimum is often just the starting point. Carrying only the minimum may leave you financially vulnerable after a serious accident. Whenever possible, consider purchasing higher limits and additional coverage to protect yourself, your passengers, and your financial future.
