Which States Do Not Require Car Insurance in 2023?

Which states do not require car insurance? Only New Hampshire and Virginia don’t make car insurance mandatory. Nevertheless, every state has laws on how much car insurance you need, from Alaska to California and Indiana to New York. Make sure you know what your state requires to keep yourself covered.

Also, remember that the specific amount of insurance you must have varies by state. This means the coverage you need depends on where you live.

In some states, you only need liability insurance, which covers when you hurt someone or damage their stuff. Other states might ask for more medical coverage, known as personal injury protection. This pays for your health bills if you get hurt in a car. And in some areas, you might need insurance in case someone without enough coverage hits you. But remember, these rules can be different in each state.

You do not have to get collision and comprehensive coverage if you don’t want to, no matter where you live. But they can still be really useful. Just focus on what your state needs. Go to your state’s website and make sure your coverage meets the requirements.

Which States Do Not Require Car Insurance?

Only two states, New Hampshire and Virginia, do not need car insurance. In Virginia, drivers can choose to pay $500 a year to the state instead of getting insurance, but this won’t cover accidents. Remember, even if insurance is not a must in these states, people are still responsible for any harm they cause to others.

What Car Insurance Do I Need?

Different states have different car insurance rules, but almost every state needs drivers to have some liability coverage.

Other parts of car insurance are needed in certain states, not in others. It’s good to learn about the types of coverage that make up car insurance. Below, we explained the basic parts of what’s usually called “full coverage” car insurance:

Additional Notes:

• Comprehensive and Collision coverages are optional and not mandated by law in any state, but they provide additional protections that liability coverage doesn’t offer.
• Comprehensive coverage is useful for non-driving-related damages.
• Collision coverage is applicable for damages incurred during driving, irrespective of fault.

Car Insurance Requirements in Every State

You have to get at least the minimum car insurance that your state asks for, which depends on where you live most of the time. If you move to a different state, you might need more insurance on your policy according to the new state’s rules.

Do I Need Minimum Coverage or Full Coverage?

Basic car insurance might not cover all the costs if there is an accident, including damage to your vehicle. Every state requires at least liability insurance, and some also ask for personal injury protection or coverage for uninsured drivers.

While comprehensive and collision coverage, which handles your car’s damage even if the accident is your fault, aren’t mandatory, they’re still important for a strong insurance plan.

Collision coverage helps pay for your car’s damage after an accident, no matter who’s at fault. Comprehensive coverage takes care of damage when your car isn’t being driven, like if something falls on it or you accidentally hit an object.

If you lack these coverages and something happens, like a tree causing a dent or you bump into something, you will need to pay for repairs yourself.

If you financed or leased your car, the company likely requires you to have these coverages. Some drivers might consider dropping them if their car’s value is low, but for most people, having full coverage with collision and comprehensive is the best choice.

What Happens if You Drive Without Insurance and Get Pulled Over?

The consequence of driving with too little insurance or no insurance at all depends on your state. If you are pulled over by the police or have an accident without having the right amount of insurance your state demands, below are things that might happen:

1. If you have a car crash and don’t have enough insurance, you might have to use your own money to pay for the damage or injuries.
2. If you can’t pay, your wages could be taken to cover the costs.
3. If you break the rules and get fined, you might have to pay a lot of money.
4. They could also take away your driver’s license and your ability to use your vehicle.
5. If you do something wrong with your car, they might take it away or keep it for a while. And later on, your car insurance could become more expensive.

Frequently Asked Questions

While answering the question “which states do not require car insurance?” the following commonly asked questions have been identified.

What type of vehicle insurance do most states require you to have?

Almost in all states, you need liability coverage for your car, except in two states. This helps pay for the damage or injuries you cause to other drivers in a crash. In a few no fault states, you have to use your own insurance to pay for injuries after a crash. You need personal injury protection in those states.

Is car insurance mandatory in every state?

You need to make sure your car is registered and insured where you live. This means you have to meet the insurance requirements of your state. For example, if you live in New York, you must have at least $10,000 in insurance for property damage. But in Tennessee, you must have at least $15,000 in insurance for property damage.

Conclusion on Which States Do Not Require Car Insurance

Again, only New Hampshire and Virginia do not require car insurance. In Virginia, drivers can pay $500 to the state instead of getting insurance, but they’ll have to pay for any damage they cause in an accident. In New Hampshire, people have to pay for the damage caused without insurance, so it’s better to have car insurance to cover those costs.

Read also: Can You Get Insurance Without Registration