Understanding the Minimum Amount of Liability Insurance Required in NC

In North Carolina, the law requires motorists to carry a minimum amount of standard car insurance, underinsured motorist insurance, and uninsured motorist insurance. Additionally, motorists are required to carry proof of coverage when driving and must produce such evidence if requested by law enforcement officials. Here’s a breakdown of North Carolina auto insurance requirements and the optional coverages that can provide you with additional protection:

Minimum Limits Required in North Carolina

Liability coverage compensates for the injuries, property damage, pain and suffering, and lost wages that result from an at-fault accident. You should note that liability coverage only covers the other parties injured or whose property is damaged due to an accident you’ve caused. It doesn’t cover your injuries or damage to your property. Here’s a look at the minimum auto liability insurance limits required by the state of North Carolina:

  • Bodily Injury Liability

    This coverage covers the expenses that come with injuries or death that you cause while driving. In North Carolina, you’re required to carry a minimum of $30,000 of bodily injury coverage per person and $60,000 of bodily injury coverage per accident.

  • Property Damage Liability

    This coverage pays for the damage you cause to other people’s property due to an at-fault auto accident. In North Carolina, you’re required to carry a minimum of $25,000 of property damage coverage.

  • Underinsured or Uninsured Motorist Bodily Injury

    Uninsured motorist bodily injury coverage compensates you or your passengers if you’re injured, and the at-fault driver is uninsured. It also covers you in the event of a hit-and-run accident. Underinsured bodily insurance compensates you if you’re injured, and the at-fault party is either underinsured or uninsured. In North Carolina, the required minimum coverage limits for bodily injuries are $30,000 and $60,000 per person and incident, respectively.

  • Uninsured/Underinsured Motorist Property Damage

    This coverage covers damage to your car if you’re in an accident caused by a driver who either doesn’t have adequate coverage or is not insured at all. In North Carolina, you’re required to have a minimum of $25,000 of property damage coverage per accident. You should note that minimum limits insurance covers policyholders per accident. Your coverage will renew with each auto accident. However, if you’re at fault for an accident that involves multiple vehicles, you may be held liable for claims and damages that exceed the liability coverage offered by minimum limits insurance. Therefore, it would be best to consider getting additional coverage.

Optional Coverages

  • Personal Injury Protection or Medical Payments – This coverage covers you and your passengers’ medical costs resulting from a covered accident. It also covers lost wages as well as other related expenses.
  • Collision Coverage – This covers damage to your vehicle resulting from a collision with other vehicles or objects such as a guardrail or tree. While collision coverage doesn’t cover normal wear and tear, it covers rollover accidents and damage caused by potholes.
  • Comprehensive Coverage – This coverage covers theft as well as damage to your car caused by non-collision events such as damage caused by flood, hail, vandalism, and falling objects.

Liability insurance requirements are strictly enforced in North Carolina, and insurers are required to inform the Division of Motor Vehicles if their liability insurance coverage lapses or is canceled for any reason. At Pittman Insurance Group, LLC, we will help you find a cost-effective auto insurance policy that provides you adequate coverage. Contact us today to learn more!

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