Is It Illegal to Drive Without Insurance in the U.S.?
In the United States, laws regarding driving without insurance vary by state. It’s important to note that there is no federal statute on driving or registering a vehicle without insurance; rather, these laws are handled on the state level. The legalities of insurance trace its roots back to 1898 when Travelers Insurance Company issued the very first insurance policy to Dr. Truman J. Martin. His policy cost him only $12.25 and insured him for up to $5,000.
However, the first state to require a driver to obtain insurance coverage before registering their vehicle was Massachusetts, nearly thirty years later in 1925. For almost three decades, Massachusetts was the only state to pass laws requiring auto insurance. Since then, each state's insurance laws differed significantly; therefore, it’s important to know your specific state's laws to ensure you comply.
Why Might Someone Drive Without Insurance?
According to the H&K Insurance agency, a staggering 1 in 8 drivers on the road do not have insurance coverage. One of the main reasons people may drive without insurance is that they cannot afford it or may not want to spend the extra cash for the coverage.
However, if caught without insurance, the repercussions could cost much more than the initial coverage would have. Furthermore, if you are involved in an accident without vehicle insurance, you will have to pay out of pocket instead of having the insurance cover the costs.
Car insurance can be even more expensive due to high rates because of poor driving history or blemished credit. Another reason is that many new drivers are not familiar with the various legalities surrounding car insurance and may not know it’s required by law. Some people may even rather pay the fine or other legal penalties rather than just pay an insurance premium, though that is a dangerous path to go down. Most insurance companies not only have different rates, but also have varying insurance rates for higher risk drivers.
What Can Happen if you Drive Without Car Insurance?
The penalties for driving a vehicle without insurance greatly vary by state, as there is no federal law regarding the matter. According to some sources, if you drive without insurance, you may be subject to a variety of fees, impounding of your vehicle, loss of license, or even jail time.
In 49 states and Washington DC, it’s the law that you must have at least minimum insurance coverage. However, it is not required in New Hampshire, although a number of fines or other penalties may be applicable if you are at fault in an accident.
The coverage that you are required to have on your vehicle also varies from state to state. However, a couple of types of coverage are universal, such as bodily injury liability and property damage liability.
The consequences of driving without insurance vary, as every state has different statutes. However, it is highly recommended that you have at least the minimum coverage on your vehicle, as one of the first items that an officer will ask you for at a traffic stop is proof of insurance.
Driving Without Insurance by State
Car insurance in the United States can be confusing due to the various legalities in each state. However, it is critical to understand why insurance is beneficial both to you and others on the road and how having car insurance coverage could save you money in the long run.
In most states, driving without the proper insurance coverage could yield significant penalties such as fines, license suspension, and jail time. Therefore, it is critical to ensure your vehicle is properly insured and that you carry proof of insurance in your vehicle at all times.
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Alabama
Insurance in Alabama is mandatory, and failure to have the proper insurance could result in severe penalties. In Alabama, every vehicle that is registered and operated in the state must have minimum liability coverage.
This insurance must cover between $20,000-$40,000 in injuries and $10,000 for any property damage. In case of a traffic stop, drivers must have proof of their insurance in the vehicle at all times. A motor vehicle liability bond is also permissible; however, this means that the driver at fault must cover all damages incurred.
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Alaska
Alaska requires that all drivers have a valid insurance policy. Vehicles in Alaska must be insured and, at the minimum, have basic liability insurance. This must include $50,000 liability insurance for injuries per person and $100,000 injury coverage per accident, as well as $25,000 in coverage for property damage. You must carry proof of insurance in your vehicle at all times, as failure to do so could possibly result in a $500 fine.
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Arizona
Arizona requires that all vehicles be insured with minimum liability insurance. Vehicles in Arizona must be insured with a minimum liability of $25,000 for bodily injury and $15,000 for property damage. If you are a new Arizona resident, it’s critical that you register your vehicle in Arizona immediately.
This is due to the fact that coverage offered in your previous state may not be recognized in Arizona. Furthermore, if your vehicle becomes uninsured, the insurer will notify the motor vehicle commission and ask for proof of insurance.
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Arkansas
Every vehicle on the road in Arkansas must have at least the minimum liability coverage of $25,000 for injuries per person and $50,000 per accident, as well as $25,000 of coverage for property damage. Prior to registering your vehicle or renewing your license, you must have the minimum liability insurance.
Additionally, it’s recommended that drivers keep proof of their insurance coverage in their vehicle at all times, especially in the case of a traffic stop, where proof of insurance is often requested.
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California
All registered vehicles in California must have minimum liability coverage for injuries and damages. California requires that all registered vehicles have the minimum liability insurance of $15,000 for one injury, $30,000 for multiple injuries, and $5,000 for property damage.
Furthermore, parents/guardians are liable for any damages incurred by a teen driver. All drivers must carry valid proof of their insurance coverage in the vehicle at all times.
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Colorado
All registered vehicles in Colorado must have minimum liability coverage. All policies must have at least $25,000 coverage for injuries, $50,000 for injuries per accident, and $25,000 of coverage for property damages.
It’s mandatory to carry proof of insurance in your vehicle at all times, as a violation is considered a class 1 misdemeanor. There are a variety of penalties if you fail to provide proof of insurance, including one to ten days in jail and a $500 fine for the first offense. However, a second offense could lead to $1,000 in fines.
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Connecticut
Drivers in Connecticut must have at least minimum liability coverage prior to registering their vehicles. This minimum liability policy must cover $25,000 for a single injury, $50,000 to cover multiple injuries per accident, and $25,000 for property damage. Additionally, policies must also include uninsured motorist coverage consisting of $25,000 for each person and $50,000 for each individual accident.
All drivers must carry proof of their insurance, as failure to do so could result in a $50 fine. If the vehicle is uninsured, a fine between $100-$1000 may be issued, along with possible license suspension.
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Delaware
Vehicles in Delaware must be insured with minimum liability coverage before they are allowed to be on the road. The minimum coverage must include $25,000 in coverage for a single injury and $50,000 for injuries per accident. You must also be covered for $10,000 in property damage per accident. Policies issued in Delaware must also include Personal Injury Protection (PIP), including $15,000 in PIP per person and $30,000 in PIP per accident.
Drivers must carry proof of insurance in their vehicles. Failure to provide proof of insurance could lead to $1,500-$2,000 worth of fines and a license suspension of up to six months. If you fail to provide insurance information within three years of your first offense, your second offense could carry a fine of $3,000-$4,000 and a six-month license suspension.
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District of Columbia (Washington, D.C.)
The District of Columbia is one of the regions in the United States that mandates no-fault insurance coverage. No-fault insurance covers the injuries incurred to the insurer, regardless of their policy. Every driver in D.C. must have at least the minimum liability coverage, which includes $25,000 for an injury, $50,000 for multiple injuries (per accident), and $10,000 for property damage.
D.C. also requires coverage for uninsured motorist bodily injury (UMBI), which must cover $25,000 for injury and $50,000 per accident. D.C. also requires uninsured motorist property damage (UMPD) coverage, which includes coverage of $5,000 per accident and a deductible.
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Florida
In Florida, you must prove that you have both personal injury protection (PIP) and property damage liability (PDL) prior to registering any 4-wheeled vehicle. A PIP policy would cover up to 80% of medical expenses totaling at least $10,000. PDL insurance covers the other driver for any property damage caused by you or any other individual operating your vehicle. Registered vehicles in Florida must have at least $10,000 in PIP and PDL coverage.
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Georgia
Proof of insurance is required prior to registering a vehicle in Georgia. Drivers must have a minimum policy of at least $25,000 per person and $50,000 per accident in injuries and $25,000 in coverage for property damage.
Georgia also requires at least uninsured motorist bodily injury of $25,000 per person, and $50,000 per accident and uninsured motorist property damage of up to $25,000, with deductibles varying from $250, $500, or $1,000. Failure to hold insurance in Georgia could result in your vehicle being impounded or revocation of your vehicle’s registration.
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Hawaii
Prior to operating a vehicle in Hawaii, it must be insured with at least the minimum in liability insurance. Liability policies must cover $10,000 for injury for a person, $20,000 in injuries per accident, and $10,000 in property damage. Vehicles in Hawaii must also have the proper personal injury protection coverage, which covers $10,000 for each person injured. If caught driving while uninsured, you could face a fine of up to $500.
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Idaho
All vehicles in Idaho must have the minimum liability coverage, which is $25,000 for an injury, $50,000 per accident for injuries sustained by multiple people, and $15,000 for any property damage. All drivers must keep proof of insurance in their vehicle at all times and sign a document upon registration that the vehicle is insured. Failure to provide proof of insurance after having done this could result in fines and other penalties.
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Illinois
Illinois requires that all vehicles be insured with minimum liability insurance. Vehicles registered in Illinois must have the minimum liability coverage of at least $25,000 for the injury of a single person, $50,000 per accident in case of injuries to multiple people, and $20,000 for property damage.
Drivers must keep proof of insurance in their vehicles at all times and must be willing to show it when asked by a police officer. In Illinois, the policyholder's signature is on the card, ensuring that the insurance is valid through the dates listed on the card.
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Indiana
Indiana requires minimum liability insurance for all vehicles. All vehicles operated in Indiana must have the minimum liability coverage of $25,000 for injuries to a single person, $50,000 for injuries per accident, and $25,000 for property damage.
Driving without valid insurance is considered a Class A violation in the state of Indiana and could lead to a variety of penalties, such as a $10,000 fine and license suspension anywhere from three months to a year. A second offense within a five-year period could lead to license suspension for a year and even 60 days in jail.
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Iowa
Vehicles in Iowa must be insured prior to being driven on public roads. Minimum policies must cover at least $20,000 for injuries for a single person, $40,000 for injuries per accident, and $15,000 for property damage per accident.
Failure to have a valid insurance policy could lead to a $250 fine and even cause the vehicle to be impounded or its registration cancelled. Therefore, until proof of an insurance policy is provided, the vehicle cannot be registered in the state.
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Kansas
Kansas requires vehicles to have minimum liability insurance. Any vehicle registered in Kansas must have insurance covering $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 in property damage per accident.
Kansas also mandates drivers have personal injury protection coverage of $4,500 in hospital bills, $900 per month, $25 per day, $2,000 for funerals, and $4,500 for any rehabilitation necessary. Furthermore, Kansas requires drivers to have uninsured motorist coverage for $25,000 per person and $50,000 per accident.
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Kentucky
Kentucky requires that all vehicles have minimum liability coverage. Vehicles registered in Kentucky must have at least coverage for $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 for any property damage.
Kentucky also allows a single limit policy, which ensures coverage of up to $60,000. Driving without insurance can yield anywhere from $500-$1,000 in fines and even three months in jail. Second offenses within five years could cost $1,000-$2,500 in fines and 180 days in jail.
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Louisiana
Louisiana requires that all vehicles have minimum liability coverage. Vehicles registered in Louisiana must be insured for the minimum amounts of at least $15,000 in bodily injury per person, $30,000 in injuries per accident, and $25,000 for any property damage.
Driving without insurance in Louisiana is considered a traffic violation and could lead to your vehicle being impounded and license plates confiscated. Once the driver provides proof of insurance, the vehicle can be returned, and plates reinstated following payment of a $150 fine.
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Maine
Maine requires all vehicles to have at least minimum liability coverage. Vehicles registered in Maine must have liability coverage for at least $50,000 in injuries per person, $100,000 in injuries per accident, and $25,000 in property damage.
Maine also requires driver and passenger coverage, which covers $2,000 in medical expenses incurred by either the driver or passengers. Proof of insurance is mandatory in Maine. Failure to provide insurance could result in a fine anywhere between $100-$500, along with the suspension of both your driver’s license and vehicle registration.
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Maryland
Maryland requires that all vehicles have minimum liability coverage. Vehicles operated in Maryland must have at least $30,000 of coverage for any injury to an individual, $60,000 for injuries per accident, and $15,000 in property damage per accident.
Drivers are required to provide proof of insurance upon request by a police officer. Failure to provide proof of a valid insurance policy could lead to a fine of up to $1,000 and up to a year in jail.
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Massachusetts
Massachusetts requires vehicles to have a minimum liability policy. Vehicles registered in Massachusetts must have at least $20,000 coverage for injury to a single person and $40,000 coverage for injuries per accident.
Drivers must also have personal injury protection (PIP) of up to $8,000, as well as $5,000 in property damage coverage. Operating a vehicle without a valid insurance policy is considered a criminal offense and could lead to a fine of up to $500, a year in jail, or license suspension of up to two months.
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Michigan
Michigan is a no-fault state. Therefore, insurance must cover every individual involved in a particular incident. Minimum liability coverage is required for $20,000 covering an injury, $40,000 covering injuries per accident, and $10,000 for property damage per accident.
Michigan also requires personal injury protection (PIP), which includes coverage of medical expenses and unemployment. Drivers must have proof of a valid insurance policy, as violations could lead to a fine of $100 and suspension of the driver’s license.
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Minnesota
Minnesota requires all vehicles to have a minimum liability policy. All vehicles in Minnesota must have minimum liability coverage of $30,000 for an injury to a single person, $60,000 for injuries per accident, and $10,000 in property damage per accident.
Minnesota also requires uninsured driver coverage, which must cover at least $25,000 in injuries per person and $50,000 in injuries per accident. Personal injury protection is also required and must cover at least $20,000 for any medical expenses and $20,000 for loss of income. Driving without proper coverage could lead to $200-$1,000 in fines and three months in jail.
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Mississippi
Mississippi requires that all vehicles have a minimum liability policy. Vehicles registered in Mississippi must have minimum coverage of $25,000 for an injury, $50,000 for injuries per accident, and $25,000 for property damage caused in an accident.
Driving without proper insurance coverage could lead to a fine of $100 and a license suspension of up to a year. Those in violation may get their license reinstated as soon as proper proof of insurance is presented.
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Missouri
Vehicles registered in Missouri must have minimum liability coverage of $25,000 for an injury in an accident, $50,000 for multiple injuries per accident, and $10,000 for any property damage caused in an accident. Uninsured motorist coverage is also required at a minimum of $25,000-$50,000 per accident. Driving without proper insurance coverage could lead to a fine of up to $500. Multiple offenses could lead to a $500 fine and possible jail time. Points may also be issued for your license.
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Montana
Vehicles registered in Montana must have insurance, specifically a minimum liability policy covering at least $25,000 for an injury in an accident, $50,000 in injuries per accident, and $20,000 for any incurred property damage per accident.
Operating a vehicle without valid insurance coverage could result in a fine between $250-$500. Subsequent offenses within five years of the first offense could result in a $350 fine, jail time, and confiscation of the vehicle’s registration.
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Nebraska
Vehicles registered in Nebraska must have a minimum liability insurance policy covering up to $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 for any property damage incurred.
If a driver cancels their insurance coverage, their license will be suspended until they purchase a new policy that covers these minimums. Driving without an insurance policy could also lead to a $500 fine and up to three months in jail.
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Nevada
Vehicles registered in Nevada must have minimum liability coverage of $25,000 in injuries per person, $50,000 in injuries per accident, and $20,000 for any property damage incurred per accident. Operating a vehicle without the proper insurance coverage could result in a fine of up to $1,000 and six months in jail. Furthermore, the offender’s license will be suspended until proof of insurance is provided and a reinstatement fee is paid.
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New Hampshire
New Hampshire does not require any minimum liability insurance. However, it’s still beneficial to have a liability policy. If a driver who lacks liability insurance causes an accident, their license and registration will be revoked until they can prove they are financially able to cover the expenses.
The state considers financial security in this case to be the ability to cover $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 per accident for any property damage incurred.
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New Jersey
Vehicles registered in New Jersey must have the minimum liability coverage of at least $15,000 in injuries per person, $30,000 in injuries per accident, and $5,000 per accident for any property damage incurred. New Jersey also requires personal injury protection coverage of $250,000. Operating a vehicle without minimum insurance coverage could result in a fine of up to $1,000. Subsequent offenses could lead to $5,000 in fines and up to two weeks in jail.
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New Mexico
Vehicles registered in New Mexico must have the minimum liability insurance of at least $25,000 in injuries per person, $50,000 in injuries per accident, and $10,000 per accident for any property damage incurred. Operating a vehicle in New Mexico without the proper insurance policy could result in a fine of up to $300 and up to three months in jail.
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New York
Vehicles registered in New York must have the minimum liability coverage of at least $25,000 in injuries per person, $50,000 in injuries per accident, and $10,000 for any property damage incurred.
New York also requires that policies have $50,000 in fatality coverage per person and $100,000 per accident. Policies must also include personal injury protection of a least $50,000 for any medical expenses and up to $2,000 for funerals. Driving without sufficient coverage could yield fines of up to $1,500 and even 15 days in jail.
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North Carolina
Vehicles must be insured before you’ll be able to receive a driver’s license or a vehicle registration in North Carolina. Drivers must have the minimum liability coverage of up to $30,000 in injuries per person, $60,000 in injuries per accident, and $25,000 per accident for any property damage.
If an insurance policy is canceled in North Carolina, the DMV will request proof of new insurance coverage. If proof is not provided, registration is revoked until proof is shown. Operating a vehicle without proof of insurance could lead to fines of up to $200 and 20 days in jail.
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North Dakota
North Dakota requires that all vehicles have a minimum liability policy. Vehicles registered in North Dakota must have minimum coverage of $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 for any property damage incurred.
Operating a vehicle without a valid insurance policy could result in a fine of $150 for a first offense and $300 for any secondary offense within a three-year period of the first offense. Your driver’s license may also be suspended until proof of a suitable policy is presented.
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Ohio
Vehicles registered in Ohio must have minimum liability coverage of at least $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 for any property damage incurred. Driving without proof of valid insurance could lead to license suspension and a $100 fee to get it reinstated. A second offense within a five-year period will result in license suspension and a $300 reinstatement fee.
A third offense in five years could lead to a $600 reinstatement fee and license suspension for two years.
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Oklahoma
Oklahoma requires that all vehicles have a minimum liability policy. Vehicles operated in Oklahoma must have minimum coverage of $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 per accident for any property damage incurred.
Drivers caught without proof of a valid insurance policy could face a fine of up to $250 and 30 days in jail. Additionally, their driver’s license will be suspended until proof of a valid policy is presented.
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Oregon
Vehicles in Oregon must have insurance which includes minimum liability insurance, personal injury protection, and an uninsured motorist policy. Minimum liability policies must cover $25,000 in injuries per person, $50,000 in injuries per accident, and $20,000 in property damage.
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Pennsylvania
Vehicles in Pennsylvania must have minimum liability coverage of $15,000 in injuries per person, $30,000 in injuries per accident, and $5,000 per accident for any incurred property damage. If an insurance policy has been canceled, your vehicle registration will be suspended for a maximum of three months. Operating a vehicle without proof of a valid insurance policy can lead to a fine of up to $300 and a possible license suspension of up to three months.
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Rhode Island
Vehicles in Rhode Island must have minimum liability coverage of $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 in any incurred property damage. Driving without insurance could lead to a fine of up to $500 and a three-month license suspension. A second offense could lead to up to 6 months license suspension and a $500 fine and a third offense will result in a fine of $1,000 and license suspension for a year.
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South Carolina
Vehicles operated in South Carolina must have minimum liability coverage of $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 for any incurred property damage. If the state receives notice that an insurance policy has been canceled, the driver has five days to show proof of new insurance. If proof is not presented, the individual’s license and vehicle registration will be suspended. Driving without insurance could lead to a fine of up to $200 or even 30 days in jail.
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South Dakota
Vehicles registered in South Dakota must have minimum liability coverage of $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 per accident for any incurred property damage. Uninsured motorist coverage is also required at a minimum of $25,000 per person and $50,000 per accident.
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Tennessee
Vehicles registered in Tennessee must have minimum liability insurance of $25,000 in injuries per person, $50,000 in injuries per accident, and $15,000 per accident for any property damage incurred. Driving without insurance could lead to a fine of $300 and is considered a Class C misdemeanor. Furthermore, if you are found driving without proof of insurance, registration of the vehicle can be suspended until proof of insurance is shown.
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Texas
Vehicles operated in the state of Texas must have minimum liability insurance of $30,000 in injuries per person, $60,000 in injuries per accident, and $25,000 per accident for any property damage incurred. Drivers without valid insurance are subject to a fine of up to $350 for the first offense and up to $1,000 for the second offense, along with a two-year license suspension and the impounding of their vehicle.
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Utah
All vehicles registered in Utah must have minimum liability insurance of $25,000 in injuries per person, $65,000 in injuries per accident, and $15,000 per accident for any property damage. Utah also has an optional coverage of $80,000, which covers death, injury, or any incurred property damage per accident. All policies must include personal injury protection of $3,000 for any hospital or doctor bills as a result of an accident.
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Vermont
Vehicles registered in Vermont must have at least minimum liability insurance of $25,000 in injuries per person, $50,000 in injuries per accident, and $10,000 for any property damage caused in an accident. Drivers must provide proof of an applicable insurance policy upon request by law enforcement personnel.
Fines of up to $500 may be issued to drivers who fail to provide insurance information. The driver then has the opportunity to provide proof of insurance within 20 days, or their license may be suspended.
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Virginia
Virginia is one of only a few states that does not specifically require insurance for a vehicle to be registered. Instead, a $500 fee will be leveled against drivers who lack the necessary insurance coverage.
If purchasing an insurance policy in Virginia, a minimum liability policy must cover at least $25,000 in injuries per person, $50,000 in injuries per accident, or $25,000 per accident for any property damage. Virginia considers driving a vehicle without liability insurance a violation, which is considered a class 3 misdemeanor and could be fined up to $500.
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Washington
All registered vehicles in Washington must have at least minimum liability insurance of $25,000 in injuries per person, $50,000 in injuries per accident, and $10,000 per accident in property damage. Driving without the proper insurance coverage is considered a traffic violation in Washington and carries a fine of up to $250.
However, if you go before a judge in court, the fine could be reduced if proof of insurance is provided. The state could also suspend the driver’s license until proof of insurance is provided.
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West Virginia
Vehicles registered in West Virginia must have minimum liability insurance of $25,000 in injuries per person, $50,000 in injuries per accident, and $25,000 for any property damage. Driving without insurance is considered a misdemeanor and could yield a fine of up to $500 and 15 days to a year in jail.
Civil jurisdictions rule on this issue as well, and fines up to $200 and 30 days license suspension could be enforced. Multiple offenses within five years of the initial violation could yield a 90-day license suspension.
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Wisconsin
Wisconsin requires all vehicles to be insured with at least a minimum of liability insurance. Vehicles in Wisconsin must have minimum insurance of $25,000 in injuries per person, $50,000 in bodily injury per accident, and $10,000 per accident for any property damage incurred. All drivers must carry a valid proof of insurance in the vehicle at all times. Driving without valid proof of an acceptable insurance policy could cause you to be fined $500.
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Wyoming
Drivers in Wyoming must have minimum liability coverage of $25,000 in injuries per person, $50,000 in injuries per accident, and $20,000 per accident for any property damage.
Driving without insurance is a serious offense and it could yield fines of up to $1,500 and up to six months in jail. If the driver commits a second offense, registration and license plates will be confiscated until valid proof of insurance is provided.