Does New Hampshire Demand Auto Insurance?

Unlike most states, New Hampshire does not require drivers to have auto insurance. However, drivers must show proof of financial responsibility if they are liable for someone else's injuries or damages in an accident. This can be demonstrated by purchasing car insurance.

While auto insurance is not mandatory, it is highly recommended for drivers who are not able to pay for damages out of pocket. In the event of an accident, drivers without insurance may face significant financial burdens, potentially costing thousands of dollars.

New Hampshire's Motor Vehicle Financial Responsibility Law (FRL)

New Hampshire is the only state that does not mandate auto insurance for all drivers. Instead, it requires drivers to show that they are able to provide sufficient funds in the case of an at-fault accident. This is known as the Motor Vehicle Financial Responsibility Law (FRL). The FRL requires drivers to prove financial responsibility for personal injuries and property damage they cause in an accident.

The easiest way to comply with the FRL is to buy an auto insurance policy with the minimum coverages required by the state. This includes liability coverage, uninsured/underinsured motorist coverage, and medical payments coverage. The minimum amounts for these coverages are as follows:

• $25,000 for bodily injury to, or the death of, one person in one accident
• $50,000 for bodily injury to, or the deaths of, two or more persons in one accident
• $25,000 for property damage in one accident
• $25,000 per person and $50,000 per accident for uninsured motorist coverage
• $1,000 per person for medical payments coverage

In addition to the above, a full-coverage auto policy in New Hampshire typically includes collision insurance and comprehensive insurance. Collision insurance covers the cost of repairing or replacing your car, regardless of fault, in the event of an accident. Comprehensive insurance protects you when your vehicle is damaged or destroyed by something other than a collision, such as a hail storm.

While auto insurance is not mandatory for all drivers in New Hampshire, there are certain circumstances in which a person may be required to purchase and maintain auto insurance. These include convictions for driving-related violations such as driving while intoxicated, vehicular homicide, leaving the scene of an accident, and reckless operation of a motor vehicle. The requirement to carry auto insurance in these cases typically lasts for a minimum of three years from the date of the conviction or accident.

Auto insurance requirements

Unlike most states, New Hampshire does not require drivers to carry auto insurance. However, if you are liable for someone else's injuries or damages in an accident, you are required to show proof of financial responsibility. The easiest way to do this is by purchasing a car insurance policy.

If you choose to buy auto insurance in New Hampshire, you are required to have auto liability coverage, including bodily injury liability and property damage liability, as well as uninsured/underinsured motorist coverage and medical payments coverage. The minimum coverage amounts are as follows:

• $25,000 per person and $50,000 per accident for bodily injury liability
• $25,000 per accident for property damage liability
• $25,000 per person and $50,000 per accident for uninsured/underinsured motorist bodily injury coverage
• $25,000 per accident for uninsured/underinsured motorist property damage coverage
• $1,000 per accident for medical payments coverage

It is important to note that these are the minimum required coverage amounts, and higher coverage amounts may provide better protection for your financial well-being.

There are some exceptions to the rule, and certain groups of drivers are required to show proof of insurance. This includes drivers who have been convicted of a DWI, certain offenses such as leaving the scene of an accident, or those who were at fault for a previous accident while uninsured.

While auto insurance is not mandatory for most drivers in New Hampshire, it is strongly recommended. Without insurance, you would be liable for all costs associated with an accident, including medical bills and property damage, which could amount to thousands of dollars.

Proof of financial responsibility

Unlike almost all other states, New Hampshire does not require drivers to have auto insurance. However, the state does require drivers to show proof of financial responsibility, which means they must be able to provide sufficient funds in the case of an at-fault accident. This can be done by either purchasing an auto insurance policy or depositing money or securities with the state treasurer.

The Financial Responsibility Unit of the New Hampshire Department of Safety's Division of Motor Vehicles (DMV) will notify a person in writing if they are required to purchase and maintain auto insurance. This is usually the result of a conviction, accident, or administrative action. For example, if a person is convicted of driving while intoxicated, vehicular homicide, leaving the scene of an accident, or a second conviction for reckless operation of a motor vehicle, they will be required to purchase and maintain auto insurance.

If a person is required to have auto insurance in New Hampshire, their policy must cover a minimum of $25,000 in bodily injury coverage per person and $50,000 per accident, as well as $25,000 in property damage coverage. The policy must also include at least $1,000 of medical payments coverage and uninsured and underinsured motorist coverage.

It is important to note that even though New Hampshire does not require auto insurance, the Division of Motor Vehicles strongly recommends that all drivers carry standard liability and property damage insurance.

Required insurance coverage

Unlike most states, New Hampshire does not require drivers to carry auto insurance. However, drivers must show proof of financial responsibility if they are liable for someone else's injuries or damages in an accident. This can be demonstrated by purchasing car insurance or depositing money or securities with the state treasurer.

If you choose to buy auto insurance in New Hampshire, the state has minimum requirements for coverage, including:

• Bodily injury liability: $25,000 per person and $50,000 per accident. This covers injuries to others in an accident.
• Property damage liability: $25,000 per accident. This covers damage to other people's property in an accident.
• Uninsured/underinsured motorist coverage: $25,000 per person and $50,000 per accident. This covers your medical expenses if you are injured by an uninsured or underinsured driver.
• Medical payments coverage: $1,000 per accident. This covers your medical costs, lost wages, and death benefits, regardless of who is at fault in the accident.

While these are the minimum requirements, higher coverage amounts may better protect you and your family financially in the event of an accident.

In addition to the above, lenders typically require individuals leasing or financing a vehicle to carry comprehensive and collision coverage. Comprehensive insurance covers damage to your vehicle from non-accident-related incidents, such as theft, vandalism, or weather damage. Collision insurance covers the cost of repairing or replacing your car, regardless of fault, if it is damaged in an accident.

While auto insurance is not mandatory in New Hampshire, it is strongly recommended. If you are at fault in an accident, you will be liable for all associated costs, which can amount to thousands of dollars. Having adequate insurance coverage can help protect you from financial hardship in the event of a vehicle mishap.

Penalties for driving without insurance

New Hampshire is the only US state that doesn't require drivers to carry auto insurance unless they have been convicted of certain driving offenses. However, there are still penalties for driving without insurance in the state.

If you are required to have insurance and are caught driving without it, you will lose your driving privileges and will have to pay a fee to have them reinstated. If you cause an accident while driving uninsured, the state may suspend your driver's license and vehicle registration until you have paid for any damage and filed an SR-22 form, which acts as proof of insurance. You will also have to pay a license/operation privilege reinstatement fee of $100 and a $25 registration privilege restoration fee. These fees must be maintained for three years.

If you are in an accident that is not your fault and you are uninsured, your insurance company should still pay for your injuries. However, if you are at fault and uninsured, you will have to pay for all the damages out of your own pocket. This could easily amount to tens of thousands of dollars or more in damages to your vehicle, the other driver's car repairs and hospital bills, and your own medical care.

If you are injured by an uninsured driver in New Hampshire, you can request a suspension of their driver's license and registration by submitting a copy of a police report or operator report, a written damage estimate, and a written request for suspension/revocation to the Safety Department 'Financial Responsibility Crash Unit'.

Frequently asked questions