Updated: May 27, 2025
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Car insurance is regulated at the state level. Most states have laws on the books that require car insurance to drive and/or register your vehicle.
First-time offenders are usually only required to pay a fine or have their license suspended. Consistently driving without insurance may lead to an impounded car, large fines and even jail time.
You may also need to file an SR-22 or FR-44 form if you are caught driving without insurance. This usually also results in having to pay higher auto insurance rates.
Getting caught without insurance can lead to fines, a suspended license and registration, an impounded vehicle, an SR-22 or FR-44 filing, and even jail time. Penalties vary by state, but most carry some combination of legal, financial and administrative consequences. First-time offenses are usually less severe, while repeat violations can result in much harsher outcomes.
Depending on the state, fines for driving without insurance can range from a few dollars to hundreds of dollars. The amount also depends on whether you are a repeat offender.
State authorities can impound your vehicle if you are caught driving without insurance. To retrieve it, you may have to provide proof of insurance and pay all associated fees, including towing and storage costs.
A suspended license is the most common consequence of not having insurance. To get it back, you may be required to attend driver education programs or community service as a condition of having your license reinstated.
Driving without insurance can also lead to jail time, but the duration will depend on the state where it occurs. In some states, the first offense may result in a brief jail sentence, while repeat offenses or extreme circumstances may result in longer terms.
An SR-22 and FR-44 are certificates of financial responsibility that an insurer issues to your state’s motor vehicle department if you have been in an accident or have been caught driving without insurance. This signals that you have insurance that meets the state’s minimums, but it also tags you as a high-risk driver, which is likely to increase your insurance rates.
Driving a car without insurance can also lead to high out-of-pocket costs. If you get into an accident, you’ll need to pay for the damages and injuries yourself, which could lead to financial devastation for you and your family.
An SR-22 is a certificate of financial responsibility required in most states after serious driving violations, such as driving without insurance or a DUI. It proves you have the minimum required coverage and often leads to higher premiums due to the underlying offense.
An FR-44 is similar but used only in Virginia and Florida. It’s required after more severe violations, like DUI or DWI, and comes with higher liability coverage requirements than an SR-22.
Auto insurance is legally required in 49 states and the District of Columbia, though coverage requirements vary by state. For example, California’s minimum liability coverage is 15/30/5, while the District of Columbia requires 25/50/10 plus uninsured/underinsured motorist coverage of at least 25/50/5.
New Hampshire is the only state that doesn’t mandate insurance to drive. However, New Hampshire drivers must prove they can cover costs in an at-fault accident, typically by meeting liability minimums.
If you're pulled over without insurance, the consequences depend on your driving history and state laws. For a first offense, you may face a fine and a suspended license. Repeat violations can lead to more serious penalties, including vehicle impoundment, jail time and additional costs like towing and storage fees.
Even if you have insurance but can’t prove it at the time, you could still be classified as a high-risk driver, which may lead to higher premiums later on. To avoid complications, always carry proof of insurance, either a physical copy in your car or a digital version on your phone.
The consequences of getting into an accident without car insurance can be worse than just being pulled over for driving without insurance. Penalties like large fines, license suspension, an impounded vehicle and an SR-22 or FR-44 are just some of the consequences. You may even face jail time, depending on the state.
Apart from facing legal consequences, you’ll also have to face financial ones. Since you don’t have insurance, you’ll need to pay for the damages and medical bills of the other party out of pocket. These can add up, especially if the accident is severe.
If you are unable to pay for the damages or injuries, you’ll be faced with bankruptcy or financial distress. The other party may also sue you for damages, which can lead to more expenses in the form of legal fees and other costs. Not having insurance after an accident can cost a lot more than the cost of a cheap full coverage insurance policy.
Minimum auto insurance requirements vary by state, but most include bodily injury liability and property damage liability. Some states also require personal injury protection (PIP) and uninsured or underinsured motorist coverage. Coverage limits differ widely, so it’s important to check with your state’s motor vehicle department for the most accurate and up-to-date requirements. The examples below reflect common state minimums, but your local rules may be higher or include additional coverage types.
Bodily injury liability insurance covers medical expenses, pain and suffering, and lost wages for others if you cause an accident that results in injuries. It does not cover injuries to you or your passengers. State minimum requirements for bodily injury liability limits can range from $10,000 to $25,000 per person and from $30,000 to $60,000 per accident.
Property damage liability covers damage to the other person's property, including their car, items inside the vehicle and buildings hit in an accident. Minimum liability limits for property damage can vary, ranging from $10,000 to $25,000, depending on the state.
UM/UIM covers you if you are hit by an uninsured or underinsured driver. It pays for medical bills, lost wages and car damage. Minimum liability limits for UM/UIM can range between $20,000 and $50,000 per person and between $40,000 and $100,000 per accident.
Sticking with the state’s minimum insurance requirement is good if you are on a budget. But if you want to guarantee financial protection for yourself as well, there are a number of cheap full coverage insurance providers available.
To purchase car insurance, you need to decide how much auto insurance coverage you need and what company to purchase from. However, there are a few more steps involved to ensure you get the best policy for your needs.
Having your details ready can speed up the process when applying for car insurance. Insurers typically ask for information about your vehicle (like the VIN, mileage, make and model), your driving and insurance history (including any accidents, DUIs, or SR-22/FR-44 filings), and personal details such as your name, birthdate, address and Social Security number. Preparing this in advance can help you get accurate quotes faster.
If you’re talking to an agent, you can ask them about the different kinds of coverage the company offers. Some common coverages you may want to ask about include:
Some insurers also have exclusive coverage that may be suitable for your lifestyle, such as rideshare driver coverage.
Your policy should meet the state’s minimum, so it’s important to figure out how much your state requires. However, you may also increase your coverage to guarantee better protection. Some insurers offer plans with different coverage limits, such as:
To ensure that your vehicle and your loved ones are properly protected, you want to find the best full coverage insurance. Since rates vary among companies, gathering and comparing quotes from multiple providers is essential to see what offers are available to you.
Once you’ve gathered your personal details, determined how much coverage you need and compared quotes from different providers, you can narrow down your choices. When you’ve decided on an insurer, apply for a policy online or contact your insurance agent or the company directly.
Use our free quotation tool to compare auto insurance quotes. You can also use our auto insurance calculator to roughly estimate how much your auto insurance will cost based on your desired coverage and personal details.
New Hampshire is the only state that doesn't require some form of auto insurance to legally drive and/or register your vehicle. All other 49 states and the District of Columbia mandate some form of auto insurance.
Depending on the state, penalties for driving without insurance can be severe. Beyond having your license and registration suspended, you may be required to carry SR-22 or FR-44 insurance. These are certificates of financial responsibility required to be filed by high-risk drivers that can increase your auto insurance rates.
Driving without car insurance can pose many risks for your driving record and also for your finances. Get a better understanding of what could happen if you drive without car insurance through our answers to some frequently asked questions.
No, driving without insurance is not a federal offense. But each state has its own regulations on auto insurance that you must follow if you wish to drive there legally. In most states, if you are caught driving without insurance, it is considered a violation, typically a misdemeanor.
It depends on the state where you were caught. However, in most states, one of the consequences of driving with no insurance is that your license will be suspended. You will also incur large fines.
If you can’t afford insurance, there are a number of car insurance options for low-income drivers, such as applying to government programs or opting for the cheapest insurance policy.
If you get into an accident while driving without car insurance, you will face fines and penalties from the state, along with having to pay for damages and injuries out of pocket.
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About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.
