Minnesota drivers must carry both liability and no-fault insurance to legally operate a vehicle. The state follows a no-fault system, which means your own insurer covers medical expenses and certain other losses regardless of who caused the accident. Winters can be harsh—make sure your insurance is up to date before hitting snowy roads.
What You Need to Drive Legally in Minnesota
Minimum liability coverage required:
- Bodily Injury: $30,000 per person / $60,000 per accident
- Property Damage: $10,000 per accident
This coverage pays for injuries or property damage you cause to others. Many drivers carry higher limits to protect against lawsuits.
Personal Injury Protection (PIP)
As a no-fault state, Minnesota requires PIP coverage to pay for:
- Medical Expenses: $20,000 per person
- Non-Medical Benefits: $20,000 per person for lost wages, replacement services, and related costs
PIP ensures your medical bills are covered immediately, without waiting to determine fault. Higher PIP limits may be worth considering if you want extra protection.
Imagine you’re rear-ended on I-94 in Minneapolis and suffer $18,000 in medical expenses. Your PIP coverage pays the entire amount, regardless of who caused the accident.
But if your medical bills had totaled $45,000, your PIP would cover the first $20,000 in medical expenses and $20,000 in wage/loss benefits.
At that point, your UM/UIM coverage or the at-fault driver’s liability policy would help cover the rest.
Uninsured and Underinsured Motorist Coverage
Protect yourself from drivers who lack sufficient insurance:
- Uninsured Motorist (UM): $25,000 per person / $50,000 per accident
- Underinsured Motorist (UIM): $25,000 per person / $50,000 per accident
UM/UIM coverage can help pay medical expenses and lost wages if you’re hit by a driver with little or no insurance. Many drivers increase limits for added safety.
Optional Coverages to Consider in Minnesota
Optional coverage can protect your own vehicle and reduce out-of-pocket expenses:
- Collision Coverage (repairs to your car after an accident)
- Comprehensive Coverage (protection from theft, fire, or weather)
- Uninsured Motorist Property Damage (repairs when hit by an uninsured driver)
- Roadside Assistance and Rental Reimbursement
Optional policies can be especially valuable in Minnesota, where winter weather increases the risk of accidents and vehicle damage.
Minnesota Penalties for Driving Without Insurance
Driving without insurance carries serious consequences:
- Fines up to $1,000
- Driver’s license suspension
- Vehicle registration suspension
- Requirement to file an SR-22 for proof of future coverage
An SR-22 filing often raises insurance rates. Repeat violations can result in higher fines and longer suspensions. Maintaining continuous coverage is strongly advised.
Proof of Insurance
Always carry proof of insurance. Minnesota accepts electronic proof on mobile devices. Officers or registration officials may request it at any time.
Electronic Insurance Verification
Minnesota uses an electronic verification system to ensure drivers have active insurance. Policies are routinely checked at registration, renewal, and randomly by the Department of Motor Vehicles.
- ✓ Carry 30/60/10 liability coverage
- ✓ Maintain $40,000 in PIP coverage
- ✓ Carry UM/UIM coverage of $25,000/$50,000
- ✓ Consider optional coverages like collision, comprehensive, and rental reimbursement
- ✓ Keep proof of insurance on hand (paper or electronic)
- ✓ Avoid lapses to prevent fines, SR-22 filing, or license suspension
Frequently Asked Questions About Minnesota Car Insurance
Is car insurance mandatory in Minnesota?
Yes, all Minnesota drivers must carry minimum liability, PIP, and UM/UIM coverage.
What is the minimum insurance required?
Liability of 30/60/10, $40,000 in PIP, and UM/UIM coverage of 25/50 are all mandatory.
Does Minnesota allow electronic proof of insurance?
Yes. You can show insurance proof on your smartphone during a traffic stop.
What happens if I don’t have insurance?
Penalties may include fines, license suspension, registration revocation, and an SR-22 filing requirement.
Where can I find more official information?
Visit the Minnesota Department of Commerce for official insurance guidelines.
How Minnesota Compares to Neighboring States
Bordering states have different insurance systems and minimums. Here’s how Minnesota stacks up:
| State | Liability Minimums | System |
|---|---|---|
| Minnesota | 30/60/10 + $40,000 PIP + UM/UIM 25/50 | No-Fault |
| Wisconsin | 25/50/10 + UM 25/50 | At-Fault |
| North Dakota | 25/50/25 + $30,000 PIP | No-Fault |
| South Dakota | 25/50/25 | At-Fault |
| Iowa | 20/40/15 | At-Fault |
Takeaway: Minnesota and North Dakota are the only no-fault states in the region. Neighboring states like Wisconsin, South Dakota, and Iowa follow at-fault systems with lower liability requirements.