Montana: Insure To Register

In the state of Montana, it is a legal requirement for all drivers to have their vehicles insured before they can be registered. The minimum insurance requirements in Montana are $25,000 per person and $50,000 per accident for bodily injury, and $20,000 per accident for property damage. Uninsured/underinsured motorist coverage can be rejected, but it is recommended that drivers carry minimum insurance to protect themselves and others. Registering a vehicle in Montana is a straightforward process for residents, but non-residents will need to provide proof of residence in the state, such as a primary domicile or a corporation in their name located in Montana. One way to establish residency in Montana is by using an LLC, which also offers the benefit of saving money on sales tax as Montana has no sales taxes.

Minimum insurance requirements in Montana

In Montana, all drivers are legally required to carry liability insurance on their vehicles. The minimum insurance requirements in Montana are as follows:

• $25,000 per person for bodily injury
• $50,000 per accident for total bodily injury of multiple people hurt in an accident
• $20,000 per accident for property damage

Uninsured/underinsured motorist coverage must also be offered as part of your liability car insurance in Montana. However, you have the option to decline this coverage in writing. The minimum requirements for uninsured/underinsured motorist coverage are:

• $25,000 per person
• $50,000 per accident

Although these are the minimum insurance requirements in Montana, each person's needs are unique. It is recommended to review additional coverage information to determine the right choice for your specific situation.

In addition to the minimum insurance requirements, there are other laws that govern what the insurance company must cover and how customers must be treated. The Montana Commissioner of Securities and Insurance (CSI) upholds the laws that govern auto insurance companies and serves as an expert resource for customers with questions or concerns about their auto insurance or any claims they may have filed.

The need for proof of insurance when driving

Driving without insurance is illegal in most U.S. states, and all drivers are required by law to carry at least a minimum amount of auto insurance. This typically includes bodily injury and property damage liability insurance. In the state of Montana, for example, drivers are required to carry liability insurance with minimum coverage of $25,000 per person and $50,000 per accident for bodily injury, and $20,000 per accident for property damage.

State laws also require drivers to carry proof of insurance in their vehicles. This is an essential document that proves you have a current and valid auto insurance policy. If you are pulled over by the police, they can ask to see your proof of insurance, along with your license and registration. You will also need to provide proof of insurance if you are ever in an accident. Failure to show proof of insurance when driving is a serious offense and can result in fines, an increase in insurance premiums, license suspension, vehicle impoundment, or even jail time, depending on the state.

To meet the proof of insurance requirements, you must have an insurance ID card or other documents from your insurance company. This must include the policy number, policy effective dates, covered vehicle, and policyholder name. In most states, you can use electronic forms of proof of insurance, such as a digital copy of your insurance card on your smartphone. However, it is always a good idea to keep a printed copy of your insurance card in your vehicle's glove compartment, so it is easily accessible when needed.

If you lose your insurance card, you can download the insurance company's app, access your account online, or contact your agent to send you an updated copy. It is important to keep your proof of insurance up to date, shredding and disposing of old cards when you receive a new one.

The benefits of registering a vehicle in Montana

Montana has long been known for its relaxed driving laws, and this extends to its vehicle registration process. The state has a lax approach to driving laws, famously having had a brief period with no speed limit. This relaxed attitude has made Montana a hub for exotic cars and a popular place to register vehicles.

No Sales Tax

Montana is one of the few states that charge no sales tax, which means you can save a significant amount of money when registering a vehicle, especially for high-value vehicles. For example, a $501,900 Lamborghini Aventador Ultimae would incur $44,167.20 in tax in New York City, with its 8.8% car tax rate.

No Inspections or Emissions Tests

Montana also skips all vehicle inspections and emissions tests, saving you time and money. This is particularly beneficial for those buying a newer used vehicle, as you won't have to worry about potential repair costs to pass emissions testing.

Low to No Annual Registration Fees

Montana offers permanent registration for older vehicles, with a one-time fee of $87.50 for light vehicles that are eleven years old or older. This means no annual registration fees for these vehicles.

Available for a Wide Range of Vehicles

Montana's registration is available for a wide range of vehicles, including cars, RVs, motorcycles, and even boats.

Easy Process

While registering a vehicle in Montana as an out-of-state resident is a bit more involved, companies like LLCTLC can help with the process, forming an LLC and providing a registered agent to handle legal documents and communications.

Legal for Out-of-State Residents

It is legal to register your vehicle in Montana even if you don't live there. If you are pulled over, you will have the necessary paperwork to prove your vehicle is registered in Montana under your LLC.

The process of obtaining a license plate for a new vehicle

In Montana, there are a few steps to obtaining a license plate for a new vehicle. Firstly, it is important to note that all car owners in Montana are legally required to carry a minimum level of insurance. This includes $25,000 per person and $50,000 per accident for bodily injury, and $20,000 per accident for property damage. Uninsured/underinsured motorist coverage is also mandatory, unless specifically rejected.

Once you have obtained the necessary insurance, you can begin the process of registering your vehicle. This typically involves providing the vehicle's title, valid identification, and paying any associated title and registration fees. If you are purchasing a used vehicle, you will need to have the previous owner sign over the current title to you, and then transfer ownership of the vehicle within 40 days of the sale date. This can be done by applying for the title and registering the vehicle at the County Treasurer's office in your county of residence. A late fee will be charged if you wait longer than 40 days.

After titling and registering your vehicle, and paying all taxes and fees, you will be given your license plates by the County Treasurer's Office. This process usually takes around 30 days. If the plates you want are not available, you may be issued a temporary permit, which is valid for 40 or 90 days, depending on the source.

Montana drivers have a variety of license plate options to choose from, including standard plates and designs that reflect military service or support for a Montana college or community organization. Personalized plates are also available for an additional fee.

The registration requirements for vehicles in Montana

All drivers in Montana are required to register their personal vehicles to be driven legally. Vehicle registration requirements differ based on whether the residents are permanent or temporary.

Registration Requirements for Permanent Residents

Upon establishing residency in Montana, new residents have 60 days to register their vehicle with the County Treasurer's Office. Residents must also register their vehicle if they are employed in Montana.

To register a vehicle in Montana, individuals need to visit their County Treasurer's Office and present:

• A completed vehicle registration application
• The vehicle's title
• The registration certificate from their former state
• Proof of auto insurance
• Payment for registration fees, which vary based on the age of the vehicle and length of registration
• County option tax, which is based on the Manufacturer's Suggested Retail Price (MSRP), type of vehicle, and depreciation of the vehicle
• Titling fees, if required
• License plate fees, if specialized plates are ordered

Registration Requirements for Temporary Residents

Anyone working in Montana is required to register their vehicle with the state. The Montana license plate must be displayed along with the license plate of the owner's home state.

To register, temporary residents need to visit the County Treasurer's Office for the county where they work and provide:

• A completed vehicle registration application
• Proof of auto insurance
• The vehicle's current registration certificate
• Payment for registration fees (based on the vehicle's age and the length of the registration)
• Payment for the county option tax (based on the Manufacturer's Suggested Retail Price (MSRP), type of vehicle, and depreciation of the vehicle)
• License plate fees, if specialized plates are ordered

Registration Time Periods

There are different time periods available for registration in Montana. Residents can choose 12-month or 24-month registration, or they can register their vehicle quarterly if they are working or staying for a short time. There is also an option for permanent vehicle registration for certain vehicles.

Vehicle Insurance Requirements

All car owners in Montana are required by law to carry a minimum level of insurance, including:

• Bodily injury: $25,000 per person and $50,000 per accident
• Property damage: $20,000 per accident
• Uninsured/underinsured motorist: $25,000 per person and $50,000 per accident (this can be rejected)

Frequently asked questions