Minimum Auto Insurance Requirements by Law

What Is the Minimum Required Coverage?

Each state sets its own minimum auto insurance limits. Typically, the required amounts are $25,000 for bodily injury per person, $50,000 for bodily injury per accident, and $15,000 for property damage. These figures are the bare minimum to cover medical costs and vehicle repair if you cause an accident.

Why Minimum Limits May Not Be Enough

Minimum coverage often falls short when injuries are severe, property damage is extensive, or the victim files a lawsuit. In such cases, uninsured or underinsured motorists can be liable for the difference, potentially costing thousands or even millions.

How State Requirements Differ

Some states, like California and Texas, require higher minimums ($50,000/$100,000 for bodily injury per person/accident). Others, such as New Hampshire, mandate only property‑damage coverage. States also differ on whether they allow uninsured‑motorist coverage or require it.

Adding Extra Coverage for Protection

Drivers often add limits for bodily injury and property damage, collision, comprehensive, and uninsured‑motorist protection. Higher limits reduce out‑of‑pocket expenses if you're at fault or hit by an uninsured driver.

Choosing the Right Policy

When shopping for insurance, compare premium costs, deductibles, and coverage limits. A policy that meets the minimum legal limits may save money short‑term but can expose you to significant risk if an accident occurs.