Minnesota Minimum Coverage Car Insurance: Requirements and Costs (November 2024)

Name: Minnesota Minimum Coverage Car Insurance: Requirements and Costs (November 2024)
Item: Minnesota Minimum Coverage Car Insurance: Requirements and Costs (November 2024)
Author: Mark Fitzpatrick

Minnesota's state minimum coverage car insurance limits are 30/60/10, with uninsured motorist coverage at 25/50 and $40,000 PIP per person. The average cost for minimum coverage is $579 annually or $48 per month.

By Mark Fitzpatrick

Reviewed by Mark Friedlander

Edited by Rae Osborn

Updated: October 29, 2024

Advertising & Editorial Disclosure

Minnesota's state minimum car insurance requirements include $30,000 in bodily injury liability per person, $60,000 per accident and $10,000 in property damage liability per accident. Drivers must also carry uninsured/underinsured motorist coverage at $25,000 per person and $50,000 per accident, along with $40,000 in personal injury protection (PIP). Understanding minimum car insurance requirements is essential, as Minnesota is a no-fault state, which means that insurers cover their policyholders' expenses regardless of who caused the accident.

On average, the monthly cost for the state minimum coverage in Minnesota is approximately $48. For those searching for budget-friendly options, exploring the cheapest car insurance in Minnesota might offer additional ways to save while adhering to legal requirements.

TABLE OF CONTENTS

Minnesota Minimum Coverage Requirements
Cost of Minimum Coverage in Minnesota
Cheapest Companies in Minnesota for Minimum Coverage
Add-On Coverages in Minnesota
Penalties for Driving Without Insurance in Minnesota
FAQ

Why Trust MoneyGeek? MoneyGeek analyzed data from the Minnesota Department of Commerce's Insurance Division and Quadrant Information Services to give you the most accurate cost data for a range of Minnesota drivers.

These rates reflect the cost of minimum coverage car insurance requirements in Minnesota as of November 2024.

33,288Quotes Analyzed

15Companies Compared

61ZIP Codes

Minnesota Minimum Coverage Car Insurance Requirements

In Minnesota, drivers are legally required to carry minimum coverage auto insurance to operate a vehicle. The state mandates the following minimum amounts for coverage:

$30,000 bodily injury liability per person
$60,000 bodily injury liability per accident
$10,000 property damage liability per accident
$25,000 uninsured motorist bodily injury per person
$50,000 uninsured motorist bodily injury per accident
$40,000 personal injury protection per person

Minnesota is a no-fault state, which means that your own car insurance pays for your medical expenses and other out-of-pocket losses after a car accident, regardless of who was at fault. The no-fault system aims to lower the cost of car insurance by removing the need for lengthy and expensive legal processes to determine fault.

ARE COLLISION AND COMPREHENSIVE COVERAGE REQUIRED IN MINNESOTA?

Minnesota does not legally require drivers to carry collision or comprehensive coverage. However, if you are financing or leasing a vehicle, most lenders will necessitate that you have both types of insurance to protect their financial interest in your car. These coverages help pay for repairs or replacement of your vehicle in cases of accidents, theft or other damages not covered by state minimum insurance.

What Does Minimum Coverage Cover?

What Liability Insurance Covers	What Liability Insurance Doesn't Cover
Injuries to others if you are at fault in an accident	Your injuries
Damage to another person’s property if you are at fault in an accident	Damages to your car
Some coverage for injuries caused by uninsured/underinsured drivers, depending on your policy	Repairs for weather-related accidents or if you were hit by an animal
	Property damage caused by uninsured/underinsured drivers unless additional coverage is purchased

The table shows Minnesota's state minimum car insurance requirements, including liability and personal injury protection. Remember, your policy's specific coverage terms may vary.

Average Cost of Minimum Coverage Car Insurance in Minnesota

While many factors play a role in determining the cost of minimum coverage car insurance, age is a prominent one. In Minnesota, drivers aged 22 to 29 have the highest premiums due to their higher risk of accidents and less driving experience.

The table below shows the average cost of minimum coverage in Minnesota for each age group, providing a clear overview of how rates vary across different ages.


22-29	$690	$58
30-59	$579	$48
60 +	$555	$46

Cheapest Companies for Minimum Coverage Car Insurance in Minnesota

In Minnesota, the most budget-conscious drivers seeking the essentials in automobile coverage can turn to Westfield and West Bend Mutual for the most affordable minimum coverage insurance.

Westfield: $284 per year; $24 per month
West Bend Mutual: $391 per year; $33 per month

It's essential to secure a plan that not only fits your financial constraints but also covers your specific needs. Make sure to evaluate all options to find the best car insurance in Minnesota that aligns with your situation.

Data filtered by:Results filtered by:

Age Group:

Age Group:30-59


Westfield	$284	$24
West Bend Mutual	$391	$33
AAA	$437	$36
Auto-Owners Insurance Co	$502	$42
State Farm	$504	$42
Iowa Farm Bureau	$506	$42
Farmers Union Insurance	$516	$43
American Family	$530	$44
Travelers	$550	$46
Western National	$559	$47
Allstate	$697	$58
Country Financial	$864	$72
Nationwide	$870	$73
GEICO	$897	$75

Optional Add-On Coverages in Minnesota

In Minnesota, optional add-on coverages include collision, comprehensive, rental reimbursement and roadside assistance. Though not mandated by law, these coverages protect against a range of incidents, such as theft, vandalism or accidents beyond standard state minimum coverage. Understanding how much car insurance you need can help you make informed decisions on these valuable additions to your policy.

Add-On Coverage	What It Covers	What It Doesn't Cover
Uninsured/Underinsured Motorist Coverage	Medical expenses, lost wages and repair costs if you're hit by a driver with no or insufficient insurance.	Damage to your vehicle if you are at fault or damages that exceed policy limits.
Personal Injury Protection (PIP)	Medical expenses, lost income and funeral costs for you or your passengers regardless of who's at fault.	Vehicle damage or injuries to the other driver.
Roadside Assistance	Services like towing, flat tire changes and jump-starts when your car breaks down.	Cost of parts or repairs needed after the tow.
Gap Insurance	Pays the difference between your car's current value and what you still owe if it's totaled or stolen.	Vehicle depreciation or overdue loan payments.
Rental Car Reimbursement	The cost of a rental car while your vehicle is being repaired after a covered event.	Fuel, insurance or other rental extras.
Collision Coverage	Repairs to your car after an accident, regardless of fault.	Damage due to theft, vandalism or natural disasters.
Comprehensive Coverage	Repairs to non-collision damages from events like theft, fire or hail.	Damages from a collision or personal injuries.
Towing and Labor Coverage	Towing and basic roadside assistance labor costs at the site of your vehicle's breakdown.	More extensive repairs needed at a garage.
Custom Parts and Equipment Coverage	Safeguards aftermarket enhancements like custom wheels or stereo systems.	Original parts that came with your vehicle.
Accidental Death Coverage	Offers a payout if you or a passenger dies or experiences certain injuries in a car accident.	Non-accidental death or injuries.
Classic Car Insurance	Agreed-upon values for your unique vehicle, tailored for vintage or collector cars.	Regular use like your daily commute.

Penalties for Driving Without Insurance in Minnesota

The cost of a ticket for driving without insurance in Minnesota varies depending on whether it's the first time you've been caught or if you've done it before. Generally, penalties ramp up with repeat offenses.

Fines: Hefty monetary penalties that increase with subsequent violations.
License penalties: Suspension of your driving privileges, often requiring an administrative fee and proof of insurance to reinstate.
Vehicle consequences: Authorities may impound your vehicle and you may face suspension of your registration.
Insurance requirements: A mandate to carry SR-22 insurance, which is a certification of future proof of financial responsibility.

Driving without state minimum coverage in Minnesota can lead to serious consequences beyond immediate penalties; it jeopardizes both your legal standing and financial security. Stay on the right side of the law by maintaining at least the minimum required insurance coverage.

What to Do if Your Policy Is Canceled

When a driver's car insurance policy is canceled in Minnesota, they should immediately seek a new policy and refrain from driving until they're insured again. Driving without insurance is illegal and risky. Connect with your insurance agent or company to discuss options or reasons for cancellation and find a replacement policy.

The Minnesota Department of Public Safety will be notified by insurers when a policy is canceled, which can lead to penalties for uninsured drivers. Therefore, it's important to maintain continuous coverage to comply with state laws.

For those struggling to get insured, Minnesota's Automobile Insurance Plan can help drivers obtain the necessary state minimum coverage. If your policy has been canceled, start looking for a new plan right away and ensure you meet the legal requirements to drive on Minnesota roads.

WHY WAS MY POLICY CANCELED?

Your car insurance policy in Minnesota might be canceled for a few reasons:

Non-payment of premium: If you miss paying your insurance premium, the company can cancel your policy.
License suspension: Losing your driving privileges due to infractions can lead to policy cancellation.
Fraud: Lying on your insurance application or filing false claims can result in cancellation.
Too many claims: Filing too many claims in a short period might make the company consider you too high of a risk.

Remember, maintaining a clean driving record and paying premiums on time are key to keeping your insurance active.

FAQ: Minnesota Minimum Coverage Car Insurance

Here, we provide clear answers to common questions about the coverage you need to drive legally in Minnesota.

What is the minimum car insurance coverage in Minnesota?

In Minnesota, the minimum coverage for auto insurance includes $30,000 for bodily injury per person, $60,000 for bodily injury per accident and $10,000 for property damage per accident, along with uninsured/underinsured motorist coverage of $25,000 per person and $50,000 per accident.

Personal injury protection is also required, with a minimum of $40,000 per person. This coverage is designed to ensure financial responsibility in case of an accident. It's essential to understand these limits when selecting your policy to comply with state law and protect your finances.

Why does Minnesota require minimum automobile liability coverage for motorists?

Minnesota mandates minimum coverage auto insurance to ensure that motorists bear financial responsibility for damages or injuries they may cause in a vehicle accident. This protection serves to provide a basic safety net for both the at-fault driver and those affected by their actions.

When discussing minimum coverage requirements, it's essential to understand that these amounts are legally mandated baselines. Drivers have the option, and often the recommendation, to opt for higher coverage limits.

Do you need comprehensive insurance in Minnesota?

In Minnesota, while state law doesn't require you to have comprehensive insurance, it's a valuable addition if you want to protect your vehicle from non-collision events. This type of coverage safeguards against scenarios such as theft, vandalism or natural disasters. If you have a car loan or lease, your lender will likely require you to carry comprehensive coverage.

What happens if you drive uninsured in Minnesota?

Driving uninsured in Minnesota is against the law and can result in severe penalties. Offenders may face fines, loss of driving privileges and vehicle impoundment. To reinstate driving privileges, you need to present proof of insurance and pay reinstatement fees.

If caught driving without insurance in Minnesota, you risk a fine of up to $1,000, potential jail time and suspension of your driver's license and vehicle registration. Repeat offenders could face increased penalties. Always carry at least state minimum auto insurance to comply with Minnesota law and protect yourself financially.

About Mark Fitzpatrick

Mark Fitzpatrick is a Licensed Property and Casualty Insurance Producer and MoneyGeek's Head of Insurance. He has analyzed the insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. He has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.

Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.

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