Automobile

Utah Car Insurance Laws: Everything You Need to Know

Utah car insurance laws require all drivers to carry a minimum level of insurance. Failing to carry this insurance can lead to fines and you could also be personally liable for damages you cause.

What Are Utah Car Insurance Laws?

All Utah drivers must have insurance to drive a vehicle. The minimum insurance requirements in Utah include:

  • $25,000 bodily injury liability per person
  • $65,000 bodily injury liability per accident
  • $15,000 property damage liability per accident
  • $3000 personal injury protection

    These limits refer to the maximum that your insurance company will pay for damages, per person and per accident. Bodily liability insurance only covers the medical bills and lost wages of injuries or damages that you cause to another driver or their passengers. It does not cover your own damages. For that reason, it is usually a good idea to consider additional coverage.

    Personal injury protection does cover your injuries and is a requirement in Utah. However, many injuries can exceed the $3000 that your insurance company will pay.

    Additionally, all Utah drivers must have proof of insurance. According to ValuePenguin, failing to provide proof of insurance when requested could lead to the same consequences as driving without insurance. Utah also often searches its database for registered vehicles that don’t have insurance on file. They will request that drivers submit proof of insurance by mail.

    It can also be helpful to know of other laws in Utah that could lead to tickets and ultimately, an increase in your insurance rates. Texting and driving is illegal in Utah. Distracted driving is also considered a moving violation.

    How to Obtain Other Proof of Financial Responsibility

    Buying insurance for your vehicle is only one method of showing proof of financial responsibility. Other methods include:

    • Deposit a Certificate of Deposit (COD) of $170,000 to the Utah State Treasurer.
    • Issue a surety bond of $80,000 to the Utah Department of Public Safety (DPS).

      You can also obtain a certificate of self-funded coverage. However, this is only available for commercial fleets with 24 or more vehicles.

      Consequences of Driving With No Insurance in Utah

      Driving with no insurance in Utah is illegal. According to The Zebra, it can lead to the following consequences:

      • A minimum fine of $4000, up to $1000 for repeat offenses
      • A suspended driver’s license until you provide proof of insurance
      • Requirement of an SR-22 form with the state
      • Potential suspension of vehicle registration with a $1000 reinstatement fee

        Drivers who fail to show proof of insurance when pulled over or following an accident can also be subject to these same consequences.

        Insurance Add-ons to Consider in Utah

        Depending on your insurance needs, minimum coverage may not be enough. Other types of coverage that you might consider include:

        • Collision coverage: Collision coverage covers damages to your own vehicle. It may be a requirement if you have an auto loan or a lease.
        • Comprehensive coverage: Comprehensive coverage is often combined with collision. It covers damages to your vehicle not related to an accident, like theft or weather-related damages.
        • Uninsured/underinsured coverage: If you are injured by a driver with no, or not enough, insurance, this coverage will cover your bills.
        • Gap insurance: Gap insurance will pay off any leftover loans on your vehicle if it is totaled and your insurance company does not pay the full amount.
        • Rental reimbursement: If you have to rent a vehicle while you wait for the insurance company to repair or replace yours, this will cover the cost of a rental.
        • New car replacement coverage: With new car replacement, the insurance company will replace your vehicle with one of the same make, model, and year.
        • Medical payments: Medical payments, or MedPay, covers your medical bills, regardless of who is at fault for the accident.
        • Roadside assistance: If you need to call a tow truck or roadside assistance, this coverage will pay for the cost.

          Many of these add-on coverages do require a deductible. This refers to the cost you have to pay out of pocket before the insurance company will pay anything.

          Factors That Influence Your Car Insurance Rates in Utah

          It can be useful to know what factors insurance companies consider when calculating your rates. You can expect Utah insurance providers to consider the following:

          • The make and year of the vehicle you drive
          • If you had prior insurance coverage
          • The number of miles you drive each year
          • Your driving record and whether you have numerous violations or accidents
          • Your age
          • Your gender
          • Your marital status
          • Your location
          • Your driving experience level
          • Purpose of your vehicle
          • Credit history

            While Utah can be slightly more expensive when it comes to insurance rates because it is a no-fault insurance state, there can be variations in rates among cities. Larger cities have more traffic, which means an increased rate of filing a claim due to an accident or theft. Smaller cities typically have less traffic, which can mean cheaper insurance rates.

            What Is No-Fault Insurance?

            Utah is one of 12 no-fault auto insurance states in the U.S. In a no-fault state, filing an insurance claim works a little differently. Instead of the other driver’s insurance company paying for your damages, your own provider will cover them. Regardless of who is at fault for an accident, each driver will turn to their own insurance company for compensation.

            How to Get the Best Insurance Rates in Utah

            You have to buy insurance in Utah, but that doesn’t mean you can’t find ways to save. Here are a few good ways to get the best rates:

            • Ask your provider about available discounts.
            • Compare quotes from numerous providers.
            • Remove any coverage you don’t need from your policy.
            • Practice safe driving habits.
            • Take a defensive driving course.
            • Buy a vehicle with a lower value.
            • Combine your insurance policies.
            • Combine insurance with your family members.

              Shopping around is an important part of finding the best rates. Request quotes from a few providers until you find a rate that fits your budget.

              Utah car insurance laws dictate the minimum amount of insurance you need. Some drivers may choose more protection by buying additional coverage.

              Check this out if you need additional information, resources, or guidance on car insurance.

              Sources:

              Utah Car Insurance Laws | thezebra.com

              Auto Insurance Requirements in Utah | valuepenguin.com

              Best Car Insurance in Utah: Everything You Need To Know | caranddriver.com

              Will Comprehensive Claim Increase Insurance? | caranddriver.com

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