Vermont Auto Insurance Requirements for Garaged Cars

State Minimum Liability Coverage

Vermont requires any vehicle, whether driven or stored, to carry liability insurance with minimum limits of $25,000 per person for bodily injury, $50,000 per accident for bodily injury, and $10,000 for property damage. These limits apply even if the car never leaves the garage, because the policy must cover any potential claim arising from accidental damage or injury on the premises.

Uninsured/Underinsured Motorist Coverage

While not mandatory, most Vermont insurers include uninsured and underinsured motorist (UM/UIM) coverage in standard policies. If the garaged car is ever involved in a collision with a driver lacking sufficient coverage, UM/UIM will protect the owner's liability exposure.

Comprehensive and Collision for Garaged Vehicles

Comprehensive coverage protects against non‑collision events such as theft, vandalism, fire, or natural disasters—risks that are common for cars stored long‑term. Collision coverage is optional for garaged cars but can be worthwhile if the vehicle is valuable or financed, as it covers damage from a crash even if the driver is at fault.

Proof of Insurance and Registration

Vermont law mandates that proof of insurance be displayed on the vehicle registration card, not on the car itself. Owners must keep the insurance card in the vehicle's registration folder, which is required during any registration renewal or inspection.

Special Considerations for Seasonal or Infrequent Use

Drivers who only use a car seasonally can opt for a "pay‑as‑you‑drive" (PAYD) or mileage‑based policy, which may lower premiums while still meeting the state's liability minimums. However, the policy must remain active whenever the car is on the road, even if just for occasional trips.

Comparison of Core Coverage Options