Brooke graduated from the University of Richmond School of Law after receiving her undergraduate degree from the University of North Carolina at Chapel Hill. Brooke worked for five years in private practice with a law firm specializing in insurance defense litigation before becoming the trial litigator for Allstate Insurance Company in the metro Richmond area.
Do you need car insurance in Virginia? The answer is yes.
Virginia code section 46.2-706 requires all registered vehicles in Virginia to have a liability policy through an insurance company licensed to do business in Virginia.
If there is a termination or cancellation of the policy, the driver must either reinsure the vehicle, deactivate the license plates, or surrender their license plates to the DMV.
Any uninsured driver faces severe penalties and you will be personally liable if you are involved in an accident.
If you get hurt in a car accident, the bigger concern will be who is the at-fault party.
You could recover compensation for your injuries, lost income, pain and suffering, and more through an insurance claim or civil lawsuit.
An experienced Virginia car accident lawyer from River Run Law can help you get the justice you deserve and maximize your financial compensation.
Contact us online or call us at (804) 889-0500 today to get started. We offer free consultations.
DO YOU HAVE TO COMPLY WITH VIRGINIA’S CAR INSURANCE LAWS?
Virginia car insurance laws dictate that drivers must carry proof of insurance in their vehicle at all times.
Before you can purchase license plates or register the vehicle, you must show proof that the vehicle meets the Virginia auto insurance requirements.
WHAT IS SENATE BILL 951?
Historically, Virginia was unique in its approach to auto liability insurance. Previously, drivers in Virginia were not mandated to carry auto liability insurance but had the option to pay an annual uninsured motor vehicle fee (UMV) of $500.
This fee allowed drivers to legally operate a vehicle without traditional insurance, though it provided no financial protection in case of an accident. Senate Bill 951, effective July 1, 2024, mandates that all drivers carry a minimum level of auto liability insurance, eliminating the option to pay the UMV fee alone.
WHAT ARE THE PRE-2025 MINIMUM CAR INSURANCE REQUIREMENTS IN VIRGINIA?
Virginia’s minimum car insurance requirements offer basic protection on the road. Here’s a quick overview of the minimum car insurance requirements in Virginia until the new law goes into effect:
- $30,000 bodily injury liability per person. This amount covers up to $30,000 for injuries sustained by a single person in an accident you cause.
- $60,000 bodily injury liability per accident. This amount provides up to $60,000 for total injuries in an accident involving multiple people.
- $20,000 property damage liability. This amount covers up to $20,000 for damage to other people’s property caused by your vehicle.
While these minimums meet legal requirements, carrying more than the minimum coverage offers additional protection. Higher coverage limits help cover more substantial medical expenses and property damage, reducing out-of-pocket costs if you’re at fault in a serious accident.
CHANGES TO CAR INSURANCE REQUIREMENTS IN 2025
Starting January 1, 2025, Virginia will update its car insurance requirements in an effort to enhance road safety and better protect drivers. The following new minimum insurance standards include the following:
- $50,000 bodily injury liability per person. This coverage increases to $50,000 for injuries to an individual in an accident you cause.
- $100,000 bodily injury liability per accident. This coverage now provides up to $100,000 for total injuries in a single accident, accommodating multiple victims.
- $30,000 property damage liability. This coverage rises to $30,000 for damage to other vehicles and property.
These changes aim to address the rising costs of medical care and vehicle repairs, ensuring that all Virginia drivers possess sufficient coverage in case of serious accidents. Raising the minimum coverage limits may reduce the financial strain on individuals involved in accidents and promote greater financial responsibility among drivers.
HOW WILL VIRGINIA STATUTE 46.2-706 AFFECT YOU?
The newly revised Virginia Statute 46.2-706 affects car insurance requirements by requiring proof of insurance during vehicle registration and inspections. As a driver, you must prove that you carry at least the minimum liability coverage, ensuring financial protection in case of accidents.
The statute also reinforces the importance of uninsured motorist coverage. If you suffer injuries or other damages in an accident with an uninsured driver, this coverage compensates you for these losses. While you may want to save on premiums, opting for adequate coverage is crucial.
The revisions streamline the insurance company reporting process, making it easier for you to verify your insurance status. This transparency helps lower costs and reduces fraud.
WHAT HAPPENS IF YOU DON’T HAVE CAR INSURANCE IN VIRGINIA?
In Virginia, driving without insurance carries significant consequences. You face several penalties if you’re caught driving without valid auto liability insurance.
Lacking insurance exposes you to financial and legal risks and jeopardizes your ability to drive legally and affordably. All uninsured drivers must pay a $600 non-compliance fee and may also be required to pay a reinstatement fee.
Additionally, you must file the SR-22 Proof of Insurance and Financial Liability form for a three-year period to prove valid coverage.
The SR-22 proof of insurance is a certification required for drivers who have had their license suspended or revoked due to serious traffic violations, such as driving under the influence (DUI) or other repeated traffic offenses.
The SR-22 form acts as proof that you carry the state’s minimum required auto liability insurance and is required by the Virginia Department of Motor Vehicles (DMV) for a specified period. Failure to maintain SR-22 coverage can further suspend your license and result in additional penalties.
If you cause or contribute to a motor vehicle collision while driving without insurance in Virginia, you are personally liable for any damages that result.
The victims can sue you for damages, and if they prevail, you could face having a judgment entered against you.
This judgment can significantly affect your credit score and lead to liens, wage garnishments, and bank levies.
WHAT IS THE AVERAGE COST OF CAR INSURANCE IN VIRGINIA
Understanding car insurance costs in Virginia helps a driver budget and make informed decisions. Here’s a breakdown of average costs:
- Minimum coverage. For basic auto liability insurance meeting Virginia’s legal requirements, expect to pay around $600 to $800 annually. This rate is often lower than the national average of about $1,000 but only provides basic protection.
- Drivers with prior offenses. If you have traffic violations or DUI convictions, your rates increase significantly, averaging $1,200 to $1,800 annually. This rate is higher than the national average due to the perceived risk of another incident while driving.
- Drivers with bad credit. Poor credit scores lead to higher premiums, ranging from $1,000 to $1,500 annually. Insurers often view lower credit scores as a higher risk.
- Adequate coverage. Comprehensive coverage, including higher limits and additional protections, typically costs $1,200 to $2,000 annually, aligning closer to national averages.
Investing in adequate coverage provides better financial protection and peace of mind than just meeting minimum requirements.
STILL HAVE QUESTIONS ABOUT VIRGINIA CAR ACCIDENT LAWS? CONTACT US
If you suffered injuries in a Virginia car accident, reach out to the experienced Virginia auto accident attorneys of River Run Law as quickly as possible.
We can help you navigate the complexities of personal injury claims and lawsuits.
Understanding the new insurance requirements for all drivers in Virginia is difficult. No one ever anticipates being in a car accident, but it’s vital to be ready and properly insured if that occurs. At River Run Law, we aggressively pursue justice and fair financial compensation for the wrongfully injured.
We fight to protect your legal rights and get you every dollar possible for your injuries and other damages. You deserve to have a passionate advocate on your side.
Call (804) 889-0500 or contact us online today for a free consultation and case review or to discuss the Virginia car insurance laws and requirements with one of our experienced car accident attorneys.