Minnesota Minimum Car Insurance Requirements
Like many other states, Minnesota requires all drivers to carry a certain minimum amount of car insurance. Where they differ a bit is just how many types of car insurances drivers must carry. The state of Minnesota mandates that drivers carry liability insurance, personal injury protection (PIP), and uninsured/underinsured motorist coverage. The required minimum amounts for each are as follows:
Liability Insurance
- $30,000 bodily injury per person
- $60,000 bodily injury per accident
- $10,000 property damage per accident
Personal Injury Protection (PIP)
- $40,000 per person per accident
Uninsured/Underinsured Motorist Coverage
- $25,000 bodily injury per person
- $50,000 bodily injury per accident
Failure to carry proof of insurance can result in you facing serious penalties in the state of Minnesota. It is also important to remember that if you have an auto loan or are leasing your vehicle, your lender or leasing company may require you to carry additional insurance.
Minnesota Personal Injury Protection (PIP)
Minnesota is what is known as a no-fault state. For this reason, it would be wise to have a sufficient amount of personal injury protection (PIP). In no-fault states, you would first consult your insurance company to cover injuries before trying to file with the other driver’s insurance. PIP coverage is the best way to do that as it covers medical expenses and lost wages. It can even cover a certain amount of funeral expenses. Start with making claims through your PIP coverage but if expenses greatly exceed them due to injury severity, move on to the other driver’s liability insurance.
Uninsured/Underinsured Motorist Coverage in Minnesota
Despite car insurance being mandated by law in the state of Minnesota, many drivers choose to forego obtaining a policy. This can be a real issue as in an accident you, would turn to the other driver’s insurance for coverage. But when no company exists, you could utilize uninsured/underinsured motorist coverage. In Minnesota, you are only required to carry such coverage for bodily injuries. If your PIP coverage is not enough to cover your medical expenses but you were in an accident with a driver lacking insurance, you would turn to your uninsured/underinsured motorist coverage for assistance.
Minnesota Liability Insurance
Liability insurance helps cover the cost for injuries and damage you cause in an accident you have found to be responsible for. Remember that liability insurance will never cover your medical expenses to auto repairs. It is only to be used on the other driver when you have caused an accident. As we have mentioned previously, in the state of Minnesota, if you are injured in an accident, you should first turn to your PIP coverage. If that is exhausted, you could then try to file your claims with the other driver’s bodily injury liability insurance.
Car Insurance Limits in Minnesota
coverage limits refer to the minimum amount of insurance a state requires you to carry as a driver. From an insurance standpoint, limits are also the maximum amount your insurance company will payout in a claim. If you carry the minimum insurance requirement in Minnesota, your coverage limits would be 30/60/10. Each of the numbers represents a different aspect of liability insurance: bodily injury per person, bodily injury per accident, and property damage, respectively. More on what each of those categories covers can be found below.
- Bodily injury per person refers to the maximum amount your insurance company will pay for one person injured in an accident you are responsible for.
- Bodily injury per accident is how much your insurance will pay for all injuries you cause in an accident.
- Property damage per accident is the amount your insurer will cover for damages to another driver’s property in an accident you are found to be at fault for.
Is Minnesota’s Mandatory Insurance Minimums Enough Coverage?
While Minnesota has pretty high expectations for insurance, you are not entirely protected. Accidents can be very costly. You could exhaust your PIP coverage quickly if the damages are enough, and then your care is put in the hands of the other person’s insurance. If you choose to carry the minimum liability insurance required, you could easily go well beyond the property damage limits should you total someone else’s car. It is highly recommended that you increase coverage limits and consider policy add-ons. You should not leave your assets at risk when you are driving.
Driving Without Insurance in Minnesota
Failure to provide proof of insurance in the state of Minnesota has some harsh penalties. The table below outlines what you could be facing should you choose to drive without car insurance in Minnesota.