Massachusetts Auto Insurance: Exploring General Coverage Options

Massachusetts is a no-fault state, meaning that anyone injured in a motor vehicle accident has their own insurance pay for their medical expenses and lost wages, even if they were not responsible for the collision. In Massachusetts, motorists must carry a minimum of $20,000 per person and $40,000 per accident in Bodily Injury Liability (BIL) insurance, as well as at least $5,000 in Property Damage Liability (PDL) coverage.

Massachusetts law also mandates Personal Injury Protection (PIP) coverage, which pays the medical expenses of the driver and any passengers up to $8,000 per person per accident. Additionally, drivers are required to purchase at least $20,000 per person and $40,000 per accident in uninsured motorist coverage.

When shopping for auto insurance in Massachusetts, it is important to obtain multiple quotes, ask about discounts, and carefully review the types and levels of coverage offered.

Minimum auto insurance requirements in Massachusetts

To register a car in Massachusetts, you must have automobile insurance. There are four insurance coverages that are compulsory in Massachusetts:

Bodily Injury to Others

This protects you against legal liability for the accidental injury or death of others (excluding your passengers) caused by your operation of the car. This only applies if the accident occurs in Massachusetts and does not cover the injury or death of a passenger in your car. You must buy at least $20,000 per person and $40,000 if more than one person is hurt.

Personal Injury Protection (PIP)

PIP covers medical expenses, up to 75% of lost wages and replacement services up to a limit of $8,000. As Massachusetts is a no-fault state, PIP will pay these expenses for you, anyone you let drive your car, anyone living in your household, passengers in your vehicle and pedestrians, regardless of who causes the accident.

Bodily Injury Caused by an Uninsured Auto

This protects you, anyone you let drive your car, household members and passengers (unless covered by another Massachusetts policy with similar coverage) against losses caused by an uninsured or unidentified ("hit and run") driver. A minimum limit of $20,000 per person and $40,000 per accident is required.

Damage to Someone Else’s Property

Also known as Property Damage, this pays for damage to another person's property when you, a household member or another driver you authorise causes accidental damage to another person's property. You must purchase a policy with a minimum limit of $5,000.

No-fault insurance in Massachusetts

No-fault insurance is a type of auto insurance structure where, after a car accident, each party's insurance provider covers the cost of their damages, regardless of who was at fault. Massachusetts is one of around 12 states that follow a no-fault car insurance system.

Who is Covered Under No-Fault Insurance in Massachusetts?

No-fault insurance, also known as Personal Injury Protection (PIP) insurance, covers the policyholder, anyone who has the policyholder's permission to drive their vehicle, any passengers riding in the vehicle, and any pedestrians injured by the vehicle.

Massachusetts' no-fault insurance covers medical bills, up to 75% of lost income due to an inability to work, and "replacement services" (e.g. household chores) resulting from a car accident, but only up to a limit of $8,000. It's important to note that no-fault insurance does not cover vehicle damage claims.

Stepping Outside of No-Fault Insurance in Massachusetts

There are certain circumstances under which a person can step outside of the no-fault system and file a claim against the driver at fault. This can happen if:

• The injured person has incurred at least $2,000 in reasonable medical expenses.
• The injuries include permanent and serious disfigurement, a bone fracture, or substantial loss of hearing or sight.

Average cost of auto insurance in Massachusetts

The average cost of car insurance in Massachusetts depends on the level of coverage selected. For instance, the average monthly cost for minimum coverage is around $38, while opting for full coverage with a $1,000 deductible costs about $89. The average cost of full coverage car insurance in Massachusetts is $1,673 per year, or about $1,070 per year, while minimum coverage costs approximately $460 per year, or around $458 per year.

The cost of car insurance in Massachusetts is also influenced by factors such as age, gender, location, driving record, credit score, vehicle type, and insurance company. For example, younger and inexperienced drivers typically face higher premiums due to a perceived higher risk. The cost of insurance can also vary depending on the city in Massachusetts, with Boston having a higher average premium than Cambridge for full coverage.

It's important to note that these averages may not reflect the exact cost of car insurance for individuals in Massachusetts, as rates can vary based on personal factors and insurance company.

Cheapest auto insurance in Massachusetts

Massachusetts drivers pay an average of $150 per month for car insurance, which is lower than the national average of $158 per month. The cheapest car insurance companies in Massachusetts are Vermont Mutual, State Farm, and Geico. The difference between the cheapest and most expensive car insurance in Massachusetts is $1,852 per year, so it pays to compare quotes.

Cheapest Car Insurance Companies in Massachusetts

• Midvale Home & Auto: Offers the cheapest liability insurance in Massachusetts, at $68 per month.
• State Farm: The cheapest car insurance company in Massachusetts is State Farm, with an average annual rate of $841 for full coverage.
• Vermont Mutual: Offers the cheapest rates in Massachusetts at $176 per year, on average, for minimum coverage car insurance for a 35-year-old driver with a clean driving record.
• Liberty Mutual: Offers the cheapest car insurance in Massachusetts, alongside Midvale Home & Auto and Safeco.
• Geico: Offers the cheapest car insurance for teens in Massachusetts.
• Travelers: Offers the cheapest full-coverage policies in Massachusetts, with average costs well below other companies in the state.
• National General: The cheapest car insurance company in Massachusetts overall, which charges an average of $62 per month for state-minimum coverage.
• The Hanover: Offers the cheapest car insurance for young drivers with a DUI in Massachusetts.
• Plymouth Rock: Offers the cheapest car insurance for drivers with a DUI in Massachusetts.

Factors Affecting Car Insurance Premiums in Massachusetts

Massachusetts law is strict in dictating what factors insurance companies can use to determine your rate. In Massachusetts, car insurance carriers cannot use your credit history, age, gender, or marital status to determine your risk level, which means these factors shouldn't impact your premium. However, insurance companies can use your driving experience and ZIP code when setting premiums.

Car Insurance Requirements in Massachusetts

Massachusetts requires drivers to carry a minimum amount of insurance. In this no-fault state, you must carry personal injury protection (PIP) and uninsured motorist coverage in addition to bodily injury and property damage liability coverage.

• Bodily injury liability: $20,000 per person / $40,000 per accident
• Property damage liability: $5,000 per accident
• Personal injury protection (PIP): $8,000
• Uninsured/underinsured motorist bodily injury: $20,000 per person / $40,000 per accident

Mandatory auto insurance coverages in Massachusetts

In Massachusetts, drivers are legally required to carry minimum coverage auto insurance to register and drive a vehicle. This includes four types of coverage:

Bodily Injury to Others

This coverage protects you, or someone you allow to drive your car, from legal liability if you accidentally injure someone else or cause their death while operating your car. It only covers losses if the accident occurs in Massachusetts and does not cover the injury or death of a passenger in your car. The minimum coverage limit is $20,000 per person and $40,000 if more than one person is hurt.

Personal Injury Protection (PIP)

PIP covers medical expenses, up to 75% of lost wages, and replacement services up to a limit of $8,000. Massachusetts is a no-fault state, meaning that no matter who causes the accident, PIP will pay these expenses for you, anyone you let drive your car, anyone living in your household, passengers in your vehicle, and pedestrians.

Bodily Injury Caused by an Uninsured Auto

This coverage protects you, anyone you let drive your car, and household members and passengers (who are not covered under another similar Massachusetts policy) against losses caused by an uninsured or unidentified ("hit and run") driver. The minimum coverage limit is $20,000 per person and $40,000 total for all people injured by the uninsured auto in the accident.

Damage to Someone Else's Property

Also known as Property Damage, this coverage pays for damage to another person's property when you, a household member, or another driver you allow to use your car causes accidental damage. The minimum coverage limit is $5,000.

Frequently asked questions