There are many variations to car insurance and requirements by state, loan providers, and more. There is only one state in the United States that does not require auto insurance however uninsured drivers are required to prove that they have enough funds to be able to cover any damages that could occur in an accident. But why is auto insurance a requirement? 


At-Fault and No-fault States

At-fault and no-fault refer to drivers in an accident and decides which driver is responsible for damages and injury costs in an accident. At-fault means that the driver who is responsible for the accident is responsible for damage and injury costs. No-fault means that each driver is responsible for their own damages and injuries.  No-fault states require drivers to file injury claims with their own insurance through their PIP coverage. The following states are no-fault states: 

  • Florida
  • Hawaii
  • Kansas
  • Kentucky
  • Massachusetts
  • Michigan
  • Minnesota
  • New Jersey
  • New York
  • North Dakota
  • Pennsylvania
  • Utah

State Requirements

The minimum amount of coverage varies by state, but a majority of states require a minimum of liability insurance. This means that if you are in an accident, the driver who is at fault is required to cover the other driver’s vehicle damages and personal injuries through their liability insurance. Florida is the only state that only requires liability insurance to cover property damage. 

How to Get Auto Insurance that Meets Your State’s Requirements

Unsure of the requirements in your state? Don’t stress, that’s why we are here to help! We know the requirements for each state and can help you get the best auto insurance coverage at OnPoint Rates. Looking to bundle? We can find you the very best rates with an all in one insurance plan bundling all of your coverage needs. We are the one and only auto insurance company that will go to bat for you! Looking for an auto insurance agent in Fargo? Call our Fargo insurance office!