North Carolina auto insurance
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Moving confidently with North Carolina auto insurance
Although there are public transit systems in North Carolina, many North Carolinians operate motor vehicles to get where they need to be. Over the past two decades, the number of annual vehicle miles traveled has increased by 376 billion (or 13%) in the United States.
Within the same period, annual vehicle miles traveled in North Carolina outpaced the national trend with a statewide increase of 31% or 29.5 billion miles, according to the North Carolina Department of Transportation. North Carolinians are driving more than ever, making North Carolina auto insurance a necessity.
North Carolina by the numbers
With just over 10 million residents, North Carolina is the ninth-largest state by population. In 2022, the Tar Heel State also ranked number nine in experiencing population growth, at 1.3%. Nearly half of the state’s population lives in its two largest metropolitan areas, Charlotte and Raleigh-Durham.
North Carolina has almost 80,000 miles of state-maintained highways, making it one of the largest highway systems in the nation. Whether you’re banking in Charlotte or conducting research in Raleigh, you’re obligated to carry auto insurance when operating a vehicle here.
A closer look at North Carolina’s crash facts shows that things are trending for the worse when it comes to the number of collisions statewide and the resulting injuries and deaths. From 2020 to 2021, the following changes were recorded by the NCDOT:
• Total annual crashes increased from 247,214 to 276,026.
• Total crashes with fatalities increased from 1,523 to 1,653.
• Total crashes with injuries increased from 69,001 to 74,639.
In addition to injury and loss of life, vehicle collisions often result in property damage worth thousands of dollars. Most drivers can’t pay out-of-pocket for damages that result from a car crash. Having a policy for North Carolina auto insurance isn’t just good sense, it’s also the law. Whether you’re new to driving in the Tarheel State or an experienced car owner, VIU by HUB helps you compare North Carolina auto insurance quotes and find something that works for you.
Minimum North Carolina auto insurance requirements
According to the North Carolina Department of Motor Vehicles, all vehicles registered in the state must have continuous Liability Coverage. This coverage must be backed by a company that is authorized to do business in North Carolina. Liability insurance protects you and your passengers from Bodily Injury and Property Damage resulting from the actions of other drivers, especially those who have limited coverage or none at all. North Carolina requires drivers to carry Uninsured and Underinsured Motorist Coverage as well.
Liability Coverage has three components:
• Bodily Injury liability: This covers damage that you or other insured drivers cause to others. This coverage pays for medical bills, funeral expenses, lost wages, pain and suffering and legal expenses.
• Property Damage liability: This pays for damage to other people’s property caused by you or other insured drivers.
• Supplementary coverage: Depending on your policy, Liability Coverage may also include miscellaneous accident-related expenses such as bail bonds, lost wages due to court appearances, emergency first aid and more.
North Carolina Liability Coverage
As a vehicle operator in North Carolina, your Liability Coverage should meet or exceed these minimums:
• Bodily Injury for one person: $30,000.
• Bodily Injury for two or more people: $60,000.
• Property Damage: $25,000.
This is what is known as the 30/60/25 coverage rule. Keep in mind that this is the minimum requirement for the state. You could find yourself in an accident where $25,000 isn’t enough to cover property damage, especially if multiple cars are involved.
State law also requires each policy to include Uninsured and Underinsured Motorist coverage. This coverage pays for expenses when you are hit by an at-fault driver who either didn’t carry insurance (uninsured) or didn’t carry enough insurance to address all the medical bills or car repair costs (underinsured). The law requires that these coverage limits match the same limits that are in the policy for Bodily Injury and Property Damage.
VIU by HUB helps you sort through North Carolina auto insurance quotes for coverage limits that make sense for you and any other drivers named on your policy.
Coverage costs in North Carolina
On average, North Carolinians can expect to pay annually around $430 for minimum coverage and $1,445 for full coverage. These are below the national averages of $625 and $2,015 for minimum and full coverages, respectively. North Carolina auto insurance is among the least expensive in the nation. Factors such as well-maintained highways, a low cost of living and relatively mild weather contribute to the cost of insurance.
Factors that affect auto insurance premiums
What you pay for auto insurance will be affected by several factors under varying degrees of your control, including:
• Age and years of experience of the insured.
• Driving record.
• Credit score of the policyholder.
• Vehicle features, including age, make, model and safety features.
• Vehicle garaging location.
• Coverage limits and deductible.
If you live in North Carolina’s most populated areas such as Charlotte, Raleigh-Durham, Greensboro or Winston-Salem, you’ll pay more for insurance. With more drivers on the roads, the chance of being in a collision is higher. Having a good driving record, a good borrowing history and a vehicle with certain anti-theft and anti-collision features can offset living in a more populated area.
Other coverages to consider
Being a responsible driver means having sufficient coverage for you and others on your policy. If you’re financing or leasing a vehicle, your lender may require you to purchase some of these protections. We can help you sort through these additional coverages when shopping for North Carolina auto insurance quotes:
• Collision Coverage: If you run into another object, Collision Coverage can pay for vehicle replacement or repair.
• Comprehensive Coverage: Your vehicle might be stolen, vandalized or damaged by weather events, such as hurricanes. Comprehensive Coverage can pay for repairs or replacement of your vehicle for causes other than collision.
• Medical Payments: This optional protection not only covers your injuries but also provides for some medical bills for other occupants in your vehicle, regardless of who is at fault. While not required or included with every policy, this coverage may also apply when you’re injured while riding with someone else or if a car hits you while walking or biking.
This information is intended for general informational purposes only and is not intended to constitute legal advice.
Auto insurance in North Carolina by city
Understand risks, minimum state coverage requirements, average costs and other specifics that can impact auto insurance policies and premium rates in your city.