North Dakota car insurance laws

Auto insurance requirements in North Dakota

North Dakota law requires that all drivers must carry car insurance. This insurance coverage is not only for your protection but also for the protection of others on the roads. The state also requires you to carry proof of insurance, which must be shown to law enforcement officials at their request. Keep reading to find out more about the car insurance requirements in North Dakota.

Minimum Liability Coverage: 25/50/25
Uninsured/Underinsured Motorist Coverage: 25/50Personal Injury Protection (PIP)
  • $25,000 for bodily injury per person
  • $50,000 for bodily injury per accident
  • $25,000 for property damage per accident
  • $25,000 for bodily injury per person
  • $50,000 for bodily injury per accident
  • $30,000 per person

It’s important to remember that if you finance or lease a vehicle, your lienholder or leasing company could require physical damage coverage — sometimes referred to as full coverage — as a part of your agreement. 

 

Uninsured/underinsured motorist insurance in North Dakota

Uninsured/underinsured motorist coverage is legally required in North Dakota and pays for injuries and lost wages that you or your passengers suffer if you are in an accident with an uninsured/underinsured driver who is at fault.

 

Personal Injury Protection (PIP) requirements in North Dakota

Personal injury protection provides coverage for medical costs that you and your passengers incur in an accident. This coverage can be applied regardless of who is at fault. PIP will cover medical expenses such as hospital bills, rehabilitation costs, and even lost wages resulting from an accident. In North Dakota, minimum PIP coverage of $30,000 per person is required on your policy, but higher coverage amounts are available with most companies.

 

Liability coverage in North Dakota

Liability coverage is legally required in North Dakota and pays for bodily injury, lost wages, pain and suffering, and property damage that you inflict on another driver or their passengers in an at-fault accident. It’s important to remember that your liability coverage never pays for your injuries or property damage.

 

What are state-mandated car insurance limits?

Limits refers to the maximum amount that your car insurance company will pay in the event of a claim. States can set the minimum amount of coverage drivers must carry. For liability coverage, this limit is split into three categories. North Dakota’s liability limits are listed as 25/50/25 and explained below:

  • $25,000 bodily injury coverage per person. This is the maximum dollar amount your insurer will pay for a single person that you injure in an at-fault accident.
  • $50,000 bodily injury coverage per accident. This is the limit of what your insurance company will pay for all injuries that you cause in an accident if more than one person is hurt.
  • $25,000 property damage per accident is the maximum dollar amount that your insurer will pay for property damage that you cause in an accident.

Uninsured/underinsured motorist coverages are listed in a similar fashion to liability limits, though most states don’t require you to carry the property damage portion. In North Dakota, the minimum limit for uninsured/underinsured motorist coverage is listed as 25/50 and explained below:

  • $25,000 bodily injury coverage per person is the total amount that will be paid for a single person injured in your vehicle by an uninsured/underinsured driver.
  • $50,000 bodily injury coverage per accident is the maximum dollar amount that will be paid for all injuries in your vehicle by an uninsured/underinsured driver if more than one person is hurt.

 

Do North Dakota’s required minimums provide enough coverage?

North Dakota’s car insurance requirements are fairly robust compared to many states. However, their liability requirements are still lower than what many experts would suggest. For example, $25,000 for bodily injury could be exhausted quite quickly with even moderate injuries, as medical expenses can be surprisingly costly. If you injure more than one person on one of North Dakota’s icy roads, these limits may not cover the damages, leaving you exposed to risk.

As a way of further protecting yourself, most insurance experts recommend setting your liability coverage to at least 50/100/50. If you have more significant assets — such as a house — you may consider going even higher on these limits to keep yourself protected.

 

North Dakota’s penalties for driving without proof of insurance

Driving with car insurance in North Dakota is a serious offense. If you are found to be driving uninsured in North Dakota, you can expect the following penalties:

1st offense
Subsequent offenses (within one year)
  • A fine between $150 to $1,000
  • License suspension (and $50 reinstatement fee)
  • Mandatory SR-22 for one year
  • A fine between $300 and $5,000
  • License suspension (and $50 reinstatement fee)
  • Up to 30 days in jail
  • Mandatory SR-22

 

Optional car insurance coverage in North Dakota

Alongside North Dakota's required car insurance coverages, most insurers offer further coverage options that can add even more protection. Have a look at some of the more common coverages below.

  • Comprehensive: Comprehensive coverage is a form of physical damage insurance that protects your vehicle against non-collision damages (though it does cover collisions with animals).
  • Collision: Collision insurance covers your vehicle in situations where you collide with another car or fixed object.
  • Gap coverage: If you are leasing or financing your vehicle, gap coverage could be a smart option. Because automobiles depreciate in value so quickly, this coverage pays the difference in the actual cash value of your vehicle and what you still owe on the loan. It’s a great way of protecting yourself from owing more than your vehicle is worth.
  • Rental car reimbursement: If your car is rendered undrivable because of a covered incident, this coverage goes toward paying for a rental car until your vehicle can be fixed.
  • Roadside assistance: If your car breaks down on the highway, this coverage helps with covering costs related to towing, battery charges, or a number of other expenses.

 

Why it's important to adhere to North Dakota’s car insurance requirements

Not only is carrying sufficient car insurance a legal requirement, but it’s also a smart way to protect yourself and your assets. North Dakota requires more types of car insurance coverage than many states, but it’s always a good idea to explore further coverage options to keep yourself better protected. If the price of these additional coverages concerns you, it might be time to start shopping around for a new policy. The Zebra can help you compare free car insurance quotes from a number of top carriers to help you find the best coverage at the most affordable rates.

 

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Ross Martin LinkedIn

As a licensed insurance agent, Ross is responsible for researching and writing about all matters related to auto and home insurance. He has a background in writing and education, as well as a master's degree from Royal Holloway, University of London. He has been quoted by CNET, iDriveSafely.com, and Kin Insurance.