How Much Car Insurance Do I Need?

Most people need a full coverage policy that pays for repairs to their car and has liability coverage with at least $50,000 per injured person and $25,000 in property damage.

A typical 25/50/25 policy costs an average of $148 per month. But if you shop around for a cheap company, you could pay less than $100 per month for the same coverage.

Find Cheap Auto Insurance Quotes in Your Area

Currently insured?
It's free, simple and secure.

How much car insurance do I need?

Minimum car insurance requirements vary by state. The least amount of coverage you need will depend on where you live. Most states require at least 25/50/25.

Liability required
Show All Rows

How much car insurance is recommended?

You'll need to get a car insurance policy that at least meets your state's requirements, which is typically 25/50/25.

But most people should get a 50/100/25 policy if they can afford it. That will give you protection for up to $50,000 per person you injure, $100,000 in injuries per accident and $25,000 in property damage per accident. That's typically enough to pay for all damage after a major collision.

Liability 25/50/25 50/100/25 100/200/100
Collision & comp.
Monthly cost$58$148$153

Average rates for a driver with a clean record

You could pay a few extra dollars a month to double or triple your liability coverage.

  • Basic coverage: If you're looking for a bare-bones policy or you have a car that's worth less than $5,000, get a car insurance policy that only meets your state's requirements. These minimum coverage policies cost an average of $58 per month. However, after an accident, you'll have to pay for what your insurance doesn't cover. This includes paying to repair your car because minimum coverage doesn't include comprehensive and collision.
  • Standard coverage: If you can afford it, consider getting car insurance with $50,000 in liability coverage for each person's injuries and $25,000 in property damage. Most drivers should also get comprehensive and collision coverage so the insurance company will pay to repair or replace your car if it's damaged or stolen. And if you have a car loan or lease, comprehensive and collision is required.
  • Better coverage: If you want even more protection in case of a major accident, choose a policy with at least $100,000 in liability coverage for a person's injuries or property damage. This can help protect you from costs after an expensive accident, like if you badly injure someone or cause a multi-car pileup.

Calculate how much car insurance you need

Our car insurance calculator helps you estimate how much car insurance you should get and how much it costs based on your state, your car and other key factors.

Our calculator uses thousands of estimates across all 50 states to get your best estimate, without entering personal information.

Car Insurance Coverage Calculator

Calculate how much car insurance you need.


We'll show you the average cost of our recommendation, or the cost of a policy you customize yourself.

First, let’s see what the minimum coverage requirements are in your state.

Get your customized car insurance estimate without entering your personal info, and find the best level of coverage for you. Our tool calculates your estimates based on thousands of quotes across all 50 states.

Car Insurance Coverage Calculator

Calculate how much car insurance you need.


We'll show you the average cost of our recommendation, or the cost of a policy you customize yourself.

First, let’s see what the minimum coverage requirements are in your state.

Types of car insurance coverage


Bodily injury (BI) liability

How much BI coverage do you need?

While bodily injury minimums vary by state, all states except for Florida require at least $25,000 worth of bodily injury coverage per accident.

Only having the minimum amount of coverage could save you money on car insurance, but it could cost you in the long run. Buying as much bodily injury coverage as you can afford could protect you from having to pay for expensive medical bills out of pocket.

If you cause a serious car accident and another driver or passengers need expensive medical care beyond what your insurance covers, they could file a lawsuit to make you pay out of pocket for their medical expenses. If you have a lot of financial assets like a home, you could be forced to sell them to pay off the lawsuit.

What does bodily injury liability cover?

Bodily injury liability coverage will pay out for medical care, emergency services, lost income and even funeral expenses. Bodily injury liability claim payouts can vary widely depending on factors like how severe the injury was.

Every day spent in a hospital can cost thousands of dollars for inpatient care. That's why it's a good idea to increase your bodily injury limits if you can afford the cost.


Property damage (PD) liability

How much do you need?

Property damage liability is required in every state, with minimum property damage limits ranging from $5,000 up to $25,000 on a per-accident basis.

While most minimum requirements are enough to cover average accident costs, you can always increase your protection for a small rate increase. This would protect you in worst-case scenarios, such as crashing into a museum or totaling another person's expensive sports car.

What does property damage liability cover?

Property damage liability pays for damage you cause to other people’s property from a car accident, including damage to homes, stores, vehicles, landscaping or other objects. It doesn't cover damage you cause to your own car or property, like if you crashed into your own garage.


Personal injury protection (PIP)

How much do you need?

16 states require drivers to have PIP insurance. The minimum requirement for PIP varies by state, with minimum limits ranging from $2,000 per person in Maine to $250,000 in Michigan.

If your state does not require personal injury protection (PIP) or medical payments coverage (MedPay), you may opt out of either coverage. You might want PIP or MedPay if your health insurance plan has a high deductible or doesn't cover car accidents.

What does personal injury protection cover?

Personal injury protection (PIP) pays for any medical expenses or rehabilitation costs in case of an accident. PIP protects you and your passengers if you are driving, but it also protects you if you are riding in another car or if you are hit as a pedestrian.

While PIP is similar to bodily injury liability coverage, the main difference is that PIP covers medical bills for you and your passengers, while bodily injury liability covers injuries to other drivers and passengers after an accident that you cause.


Collision and comprehensive coverage

How much do you need?

While collision and comprehensive are not required by state law, anyone buying a new or used car from a dealership with a car loan or lease will likely be required by the dealership to purchase this coverage for their car before leaving the lot.

The cost of collision and comprehensive will change depending on your car, your driving history and your deductible. A full coverage policy with collision and comprehensive coverage costs about twice as much as a policy with only minimum liability coverage.

It's typically worth dropping both collision and comprehensive coverage if the cost to replace your car is between four and six times the annual cost of comprehensive and collision insurance. This generally means you can consider dropping full coverage when your car is between eight and 12 years old and worth between $5,000 and $10,000.

What do collision and comprehensive cover?

Collision and comprehensive coverage pay to repair physical damage to your car, including paying for replacement parts, repainting or a replacement car if your car is lost, stolen or totaled.

Collision coverage protects your car from damage caused by accidents within the driver’s control, such as car crashes, fender benders or backing into a car in the parking lot. Comprehensive coverage, on the other hand, covers accidents that don't involve other cars, such as hitting a deer or a tree branch falling on your car.


Uninsured/underinsured motorist coverage

How much do you need?

Uninsured/underinsured motorist coverage is required in 22 states and is typically inexpensive relative to other types of coverage.

Most states that require uninsured/underinsured motorist coverage require limits that are the same as your bodily injury and property damage limits.

What does uninsured/underinsured motorist coverage cover?

Uninsured/underinsured motorist coverage pays for your car repairs and/or medical bills if you're hit by an at-fault driver that has no insurance or some insurance but not enough to cover the damage from an accident.

There are two types of uninsured/underinsured motorist insurance — uninsured motorist bodily injury (UIM BI) coverage covers your medical bills and recovery costs, while uninsured motorist property damage (UIM PD) coverage pays for damage to your car or home.

Frequently asked questions

What car insurance coverage should I have?

A standard full coverage car insurance policy typically includes bodily injury and property damage liability coverage plus collision and comprehensive coverage. You might also get personal injury protection (PIP) or medical payments coverage and uninsured/underinsured motorist coverage.

What is a 25/50/25 car insurance policy?

In a 25/50/25 policy, your insurance company will pay a maximum of $25,000 in bodily injury coverage per person, $50,000 in bodily injury coverage per accident, and $25,000 in property damage liability coverage for an at-fault accident.

Editorial Note: The content of this article is based on the author's opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.