How Much Car Insurance Do I Need?

Start with current state and contract requirements

Minimum required coverage depends on your state, and requirements can change. A lender or lessor may also require collision, comprehensive, or other terms while it has a financial interest in the vehicle. Verify current rules with your state insurance department and the signed finance or lease agreement.

How Much Liability Car Insurance Do I Need?

There is no single liability limit that fits every driver. Liability coverage addresses covered harm you cause to others, subject to policy limits; losses above those limits may remain your responsibility. Compare current state minimums with higher available limits, your assets and financial exposure, and qualified guidance without treating a legal minimum as a universal recommendation.

• Read bodily-injury limits per person and per accident.
• Review the property-damage limit separately.
• Confirm how defense costs are handled under the policy.
• Check current state requirements with the state insurance department.

Understand the other coverage choices

Uninsured or underinsured motorist and medical or PIP protections vary by state. Collision and comprehensive generally address different kinds of damage to the insured vehicle, subject to terms and deductibles. Do not assume a state-minimum liability policy protects the value of your own vehicle.

Choose a deductible you can actually fund

A higher deductible may reduce premium but increases the amount you may need after a covered loss. Compare the premium saving with the additional deductible and keep that cash accessible. A calculator can display the tradeoff but cannot decide the right risk level for you.