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

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

Tennessee's state minimum coverage car insurance has liability limits of 25/50/25. The average annual cost for state minimum coverage is $455, or about $38 per month.

By Mark Fitzpatrick

Reviewed by Mark Friedlander

Edited by Myjel Guevarra

Updated: October 31, 2024

Advertising & Editorial Disclosure

Tennessee's minimum coverage car insurance requirements include $25,000 for bodily injury per person, $50,000 for bodily injury per accident and $25,000 for property damage per accident. Tennessee is an at-fault state, meaning the driver who caused the accident is responsible for covering the damages. Car insurance is mandatory if you own a vehicle. Consider the minimum car insurance requirements to align with the state's legal stipulations.

The average monthly cost of state minimum car insurance in Tennessee is $38. When looking for the cheapest car insurance in Tennessee, choose the coverage that meets your needs.

TABLE OF CONTENTS

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

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

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

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Tennessee Minimum Coverage Car Insurance Requirements

In Tennessee, drivers are legally required to carry minimum coverage auto insurance before driving. This ensures financial responsibility in case of an accident.

$25,000 for bodily injury liability per person
$50,000 for bodily injury liability per accident
$25,000 for property damage liability per accident

Tennessee is a fault state, which means that the person responsible for the accident is liable for the damages incurred. Insurance companies will pay out claims based on who is at fault in the accident. Being in a fault state impacts your premium, as insurers consider the probability of the driver being at fault when determining rates.

ARE COLLISION AND COMPREHENSIVE COVERAGE REQUIRED IN TENNESSEE?

In Tennessee, collision and comprehensive coverage are not mandated by state law; however, if you finance or lease a vehicle, lenders typically necessitate both coverages to safeguard their investment. This requirement ensures that the car can be repaired or replaced in the event it's damaged or totaled. Ultimately, collision or comprehensive insurance is prudent for Tennessee drivers wanting to protect their vehicles against losses.

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 reflects Tennessee's minimum car insurance inclusions, such as bodily injury and property damage. Remember, your policy's specifics are governed by its terms and conditions.

Average Cost of Minimum Coverage Car Insurance in Tennessee

Age is a pivotal factor in determining the cost of your minimum car insurance. In Tennessee, drivers aged 22 to 29 often face the highest premiums due to their relative inexperience behind the wheel, which insurers see as a risk factor.

The table shows the average cost for minimum coverage car insurance in Tennessee by age group, helping you compare the annual and monthly premiums across different age categories.


22-29	$577	$48
30-59	$455	$38
60 +	$475	$40

Cheapest Companies for Minimum Coverage Car Insurance in Tennessee

If you are looking for the most affordable state minimum coverage auto insurance in Tennessee, Westfield and Auto-Owners offer the lowest rates:

Westfield: $290 per year; $24 per month
Auto-Owners: $328 per year; $27 per month

While affordability is crucial, choosing the best car insurance in Tennessee is based on your coverage needs.

Data filtered by:Results filtered by:

Age Group:

Age Group:30-59


Westfield	$290	$24
Auto-Owners Insurance Co	$328	$27
Tennessee Farm Bureau	$337	$28
Travelers	$391	$33
Erie	$395	$33
Cincinnati Insurance	$409	$34
Progressive	$413	$34
State Farm	$428	$36
Grange Insurance	$453	$38
Chubb	$478	$40
Farmers	$478	$40
GEICO	$531	$44
American National P&C	$546	$46
Nationwide	$632	$53
Allstate	$708	$59

Optional Add-On Coverages in Tennessee

In Tennessee, you can choose optional add-on coverages such as collision, comprehensive, uninsured/underinsured motorist and medical payments. These cover costs from accidents, theft, natural disasters and injuries. To assess how much car insurance you need, consider the value of your vehicle, personal assets and risk factors.

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 vehicle's breakdown site.	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 Tennessee

The cost of a ticket for driving without insurance in Tennessee can vary, particularly if you've been caught without insurance before. For a first offense, the penalties may include a fine. Repeat offenders could face increased fines and other consequences.

Fine for non-compliance: Your car may be taken away, and you'll have to pay costs related to its tow and storage.
Vehicle impoundment with associated fees: Authorities can prevent you from legally driving your car by suspending its registration.
Vehicle registration suspension: Your driving privileges may be temporarily withdrawn, and you will be charged a fee to restore your license once you are eligible.
License suspension and potential reinstatement fee: Your driving privilege may be temporarily withdrawn, necessitating a fee to restore your license once eligible.
SR-22 requirement for high-risk drivers: You might need to file an SR-22 — a document proving that you carry the required insurance — which will raise your insurance premiums for years.
Possibility of jail time: You could face up to six months in jail, especially if you are involved in an accident while uninsured.

Maintaining at least minimum coverage auto insurance is crucial. It keeps your driving privileges intact and offers financial protection on the road.

What to Do if Your Policy Is Canceled

If your car insurance policy is canceled in Tennessee, you should immediately seek a new policy. Avoid driving without insurance, as this is illegal and can result in significant penalties. Contacting an insurance agent or reaching out to other insurance companies for a new policy is advisable.

The Department of Motor Vehicles (DMV) in Tennessee will be notified if you are uninsured. The state uses an electronic insurance verification system that regularly checks the insurance status of registered vehicles. If there is no valid insurance on file, you may face fines or vehicle registration suspension.

Drivers in Tennessee who are having difficulty obtaining insurance can explore options through the Tennessee Automobile Insurance Plan. This program aims to provide coverage to individuals who cannot acquire insurance traditionally.

Driving without the state minimum coverage in Tennessee is illegal. Always maintain at least the minimum required insurance to protect yourself and comply with state regulations.

WHY WAS MY POLICY CANCELED?

Your car insurance policy in Tennessee may have been canceled due to a few reasons:

Non-Payment of Premiums: If you don't pay your insurance bills, the company can cancel your policy.
License Suspension: Your policy might be canceled if your driver's license is taken away.
Too Many Claims: Filing too many insurance claims in a short time can lead to cancellation.
Fraudulent Activity: Lying to your insurance company or trying to scam them can get your policy canceled.
Vehicle Changes: Making big changes to your vehicle without telling your insurer could result in cancellation.

Always maintain car insurance coverage.

FAQ: Tennessee Minimum Coverage Car Insurance

Here, we answer commonly asked questions about Tennessee's state minimum car insurance requirements.

What is the minimum car insurance coverage in Tennessee?

In Tennessee, drivers are required to have minimum coverage auto insurance that includes $25,000 for bodily injury liability per person, $50,000 for bodily injury liability per accident and $25,000 for property damage liability per accident. This basic coverage is designed to protect drivers financially in case they are at fault in an accident.

Why does Tennessee require minimum automobile liability coverage for motorists?

Tennessee enforces minimum automobile liability coverage to ensure that all motorists can cover the costs associated with damage or injury they may cause in a traffic accident. This protects drivers and accident victims from facing severe financial burdens due to collisions. Every driver needs to carry this minimum coverage to comply with state law and secure protection against potential liability.

Do you need comprehensive insurance in Tennessee?

While Tennessee doesn't require comprehensive insurance, carrying it can be wise for added protection. Unlike state minimum coverage, comprehensive insurance covers non-collision-related damage to your vehicle, such as theft, vandalism or natural disasters.

What happens if you drive uninsured in Tennessee?

Driving uninsured in Tennessee results in a Class C misdemeanor, carrying fines up to $300. Additionally, law enforcement could have your vehicle towed. For repeated violations, you risk license suspension. To regain driving privileges, you may have to provide proof of minimum coverage insurance and pay reinstatement fees. Continuous offense leads to higher penalties and potential loss of vehicle registration.

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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