Make no mistake about it. You are legally required to have auto insurance to drive a car in North Carolina. Just like in many states, you will open yourself up to a plethora of legal problems and costs if you do not keep coverage.

 

Finding the ideal coverage is not too tough once you know what to look for. Liability coverage is always required, but there’s more to it than that. So, let’s dive into the world of North Carolina auto insurance and see exactly what’s required.

 

The Bare Minimum Coverage

 

In North Carolina, you must have the bare minimum of coverage to legally drive a car in the state. The minimum coverage means you must have liability coverage and uninsured motorist coverage. If you meet the requirements for these two precautions, then you can legally hit the road.

 

The coverage minimums are:

 

• $30,000 per person for bodily injury on every accident
• $60,000 total bodily injury coverage per accident
• $25,000 liability of property damage per accident

 

With regards to uninsured motorists’ coverage, you must have this coverage. The coverage minimums are exactly the same as bodily injury coverage in the state of North Carolina. This helps protect you from injuries when in an accident with a driver who does not have any liability car insurance.

 

These are the only North Carolina auto insurance requirements. Every other coverage type is 100% optional in the state. While these coverages are optional, they are also recommended for most drivers in North Carolina.

 

Furthermore, you could lose money if you cause an accident in North Carolina without full coverage. This is especially true for individuals who own newer or expensive cars. If you total your new car with minimum coverage, you could be out of $50,000 or more.

 

 

Optional Coverage in North Carolina

 

Nearly every auto insurance company in North Carolina will offer and highly recommend optional coverages. You should strongly consider them, as they provide another layer of financial help. Common coverage includes:

 

• Collision: If you cause an accident and only have minimum coverage in North Carolina, your car’s damages will not be covered. This is where collision comes in. With the coverage, your car’s damage will be completely covered after you cause an accident.
• OTC (other-than-collision): A full car insurance policy that will also help you with non-collision issues, like vandalism. If you have a newer or an expensive car, this coverage is highly recommended.
• Towing and Labor: You can add-on towing and labor coverage to many auto insurance policies in North Carolina. This addition is usually incredibly inexpensive.

 

When Comprehensive and Collision Coverage is Required

 

The state of North Carolina does not mandate that every driver must have collision and comprehensive coverage. However, many opt for the coverage. In certain cases, you will be forced to have these coverages, too.

 

If you are paying off a loan for the car you’re driving, you will be required by the financier to have collision and comprehensive coverage. If you’re leasing a car, you will also be required to have these coverages on top of the state minimum.

 

More North Carolina Auto Insurance Information

 

When registering your car, you are required to have proof of minimum insurance by the state of North Carolina. As such, you will have to present some form of proof. Acceptable proof of insurance includes:

 

• Your insurance card
• Your insurance binder
• Your North Carolina insurance policy
• Your DL-123 form

 

Your insurance agent will be able to provide you with one or all of these pieces of information before you head to register the automobile.

 

North Carolina Auto Insurance Requirements: What You Need to Know

 

If you live in the great state of North Carolina, you will be required to have minimum coverage. Just meet the minimums listed above, and you can legally drive. However, most car owners will benefit from speaking with their insurance agent about other coverage options, especially when driving a newer car.