State by State Insurability Requirements

Every state requires drivers to carry a minimum amount of liability insurance on their vehicles. These minimums are expressed in three-part numbers. For example, Michigan’s minimums are 20/40/10. The first two numbers refer to bodily injury liability insurance, with the first number the per person limit, and the second number the per accident limit. The third number is for property damage liability coverage. So if you had the minimum insurance required by Michigan law, you would have $20,000 worth of bodily injury coverage per person injured with a maximum of $40,000 per accident, and $10,000 of property damage liability insurance.

Remember: These are only the legal minimums required. It may or may not be a good idea for you to carry additional coverage - normally, of course, it is a good idea. Furthermore, these insurance minimums cover only damage to other motorists, their passengers, and other people’s property - not your own. For that, you need medical payments coverage, collision coverage, and other-than-collision (comprehensive) coverage.

States With the Highest Minimums

Alaska and Maine are the undisputed kings of high state minimums. Both states require that motorists carry a split limit of at least 50/100, and at least $25,000 in property damage coverage.

New Hampshire, North Dakota, and South Dakota also require $25,000 worth of property damage coverage, but only 25/50 of bodily injury insurance. North Carolina has slightly higher requirements of 30/60/25.

States With the Lowest Minimums

Mississippi ranks #1 among the lowest state minimums with 10/20/5. Coming in just behind are Florida, Louisiana, and Oklahoma, which all have minimums of 10/20/10. Ohio’s minimums are 12.5/25/7.5, and all of the following states have pretty low minimums, as well: Arizona (15/30/10), California (15/30/5), Delaware (15/30/5), Georgia (15/30/10), New Jersey (15/30/5), Nevada (15/30/10), Pennsylvania (15/30/5), and South Carolina (15/30/10).

But Before You Move…

It is important to note that just because a state has low minimums, it does not mean that its car insurance rates are inexpensive. Contrary to what you might think, the opposite is more likely to be true. For example, New Jersey has low minimums precisely because car insurance is so expensive in that state. If the minimums were much higher, few people would be able to afford insurance.

If you’re on a limited budget and planning to move to a new state just to see what opportunities are available for you, first get a car insurance quote. You might be surprised at how much more insurance costs in states other than your own - or, if you’re lucky, you might be shocked to find out that car insurance is much cheaper in your destination state.

The Other 30 States and Their Minimums

* Alabama 20/40/10
* Arkansas 25/50/15
* Colorado 25/50/15
* Connecticut 20/40/10
* Hawaii 20/40/10
* Idaho 20/50/15
* Illinois 20/40/15
* Indiana 25/50/10
* Iowa 20/40/15
* Kansas 25/50/10
* Kentucky 25/50/10
* Maryland 20/40/10
* Massachusetts 20/40/5
* Minnesota 30/60/10
* Missouri 25/50/10
* Montana 25/50/10
* Nebraska 25/50/25
* New Mexico 25/50/10
* New York 25/50/10
* Oregon 25/50/10
* Rhode Island 25/50/25
* Tennessee 25/50/10
* Texas 20/40/15
* Utah 25/50/15
* Virginia 25/50/20
* Vermont 25/50/10
* Washington 25/50/10
* Wisconsin 25/50/10
* West Virginia 20/40/10
* Wyoming 25/50/20