If you drive in Arkansas, you are legally required to carry a minimum amount of auto liability insurance. Failing to meet these requirements can result in fines, license suspension, and other penalties. Below is a complete breakdown of the state’s car insurance laws and optional coverages.
Minimum Liability Coverage in Arkansas
Arkansas liability insurance is the minimum coverage required by law for anyone operating a motor vehicle in the state. This type of insurance helps cover the cost of damages or injuries you may cause to others in an accident. In Arkansas, drivers must carry at least $25,000 for bodily injury per person, $50,000 per accident, and $25,000 for property damage—often referred to as 25/50/25 coverage. While this satisfies the state’s minimum legal requirement, it may not be enough to fully protect you financially in a serious accident. Arkansas liability insurance does not cover your own injuries or damage to your vehicle. For that, drivers would need additional coverage like collision or comprehensive. To stay legal and protected, it’s essential to keep an active policy that meets or exceeds the state’s minimum standards.
- Bodily Injury Liability: $25,000 per person / $50,000 per accident
- Property Damage Liability: $25,000 per accident
This is often referred to as 25/50/25 coverage.
I’ve driven I-40 between Little Rock and Memphis more times than I can count. That stretch can be intense — it’s a busy freight corridor, and the constant flow of semi-trucks keeps you on high alert. If you’re driving through eastern Arkansas often, especially along that route, having solid insurance isn’t just a legal box to check — it’s peace of mind.
Uninsured/Underinsured Motorist Coverage
Uninsured motorist (UM) and underinsured motorist (UIM) coverage are not required in Arkansas, but insurers must offer them. You must reject this coverage in writing if you choose not to carry it. As the name of this insurance coverage suggests, it covers you in the event the other driver has no insurance.
Personal Injury Protection (PIP)
Arkansas insurers must offer PIP coverage, but it is optional. It can help cover medical bills, lost wages, and death benefits regardless of who is at fault.
Optional Coverages to Consider
- Comprehensive Coverage
- Collision Coverage
- Roadside Assistance
- Rental Car Reimbursement
Note: Lenders often require full coverage if your car is leased or financed.
Penalties for Driving Without Insurance
- Fines: $50–$250 for first offenses
- Registration suspension
- $100 reinstatement fee
- Possible jail time for repeat violations
- SR-22 filing requirement
Learn more about SR‑22 insurance in Arkansas and how it works.
Proof of Insurance Requirements
Arkansas drivers must show proof of car insurance during traffic stops or accidents. Accepted forms include:
- Insurance ID card
- Digital proof (e.g., insurer’s app)
- DMV electronic verification
Did you know? Arkansas uses an electronic verification system. If your coverage lapses—even briefly—the state may suspend your registration automatically without any traffic stop.
FAQs
Is Arkansas a no-fault state?
No, Arkansas is an at-fault state. The driver who causes the accident is responsible for paying damages.
Does Arkansas require PIP coverage?
No, but it must be offered, and you may opt in for added protection.
What is SR-22 insurance?
SR-22 is a certification of financial responsibility required for high-risk drivers. Your insurer files it with the state to prove you meet minimum coverage requirements. It’s often required after license suspensions or DUI offenses.
Can my license be suspended even if I wasn’t pulled over?
Yes. Arkansas uses electronic systems to check insurance. If they detect a lapse, you may receive a notice or immediate penalty—even without a traffic stop.
Do I need insurance if I’m not driving my car?
Yes, if the vehicle remains registered. To avoid penalties, cancel the registration if you’re taking the car off the road and dropping coverage.
Final Thoughts On Arkansas Car Insurance Requirements
Understanding Arkansas car insurance requirements is essential for staying legal and financially protected on the road. At a minimum, drivers must carry Arkansas liability insurance that meets the 25/50/25 rule. However, this coverage only protects others—not your own vehicle. To avoid out-of-pocket costs after an accident, many drivers choose to add optional coverages like collision, comprehensive, or uninsured motorist protection. Keeping your policy active and up to date helps you avoid fines, license suspension, and registration issues. Whether you’re a new driver or a longtime resident, make sure your coverage meets both legal and practical needs.