Virginia car insurance requirements and laws

Minimum car insurance requirements

Virginia overhauled its insurance law in two steps:

• July 1, 2024: The state ended the option to pay a $500 uninsured motor vehicle fee to the DMV and drive legally without insurance. Every vehicle registered in Virginia must now carry liability insurance from an insurer authorized in the state.
• January 1, 2025: For policies effective or renewed on or after that date, Virginia Code § 46.2-472 raised the minimums from 30/60/20 to 50/100/25.

Under Virginia Code § 38.2-2206, every auto liability policy must include uninsured motorist (UM) and underinsured motorist (UIM) coverage. Its limits can never be lower than the state minimums, and they automatically equal your liability limits unless a named insured rejects the extra amount in writing. UIM limits always equal your UM limits. Under the current statute, UIM pays on top of the at-fault driver's liability coverage rather than being reduced by it, unless a named insured signs an election to reduce it.

What the minimums mean in practice: suppose you cause a crash on Interstate 64 and the other driver has $40,000 in medical bills and lost wages. Under the old 30/60/20 limits, $10,000 would have been left for you to cover. Under the current 50/100/25 limits, your policy pays the full $40,000 for that person, with $10,000 of the per-person limit to spare for pain and suffering. A serious injury or a multi-car crash can still exceed $100,000, so higher limits remain worth pricing (how much liability coverage do you need?). Compare states with the state car insurance requirements lookup.

Fault system and what it means after a crash

Virginia is an at-fault state. The driver who causes a crash is responsible for the other side's injuries and damage, with no tort threshold. What sets Virginia apart is that it is one of the few places that still applies contributory negligence. The Bureau of Insurance warns that if you are responsible for an accident in any way, you could be barred from recovering from the other party. Being found 5% at fault can wipe out a claim. Your own coverages, including UM/UIM, medical expense benefits and collision, become especially important. See comparative vs contributory negligence and how fault is determined in a car accident.

Optional coverage worth considering here

• Medical expense benefits. This optional coverage pays reasonable medical and funeral costs regardless of fault. Under contributory negligence it may be the only auto coverage that pays your medical bills after a crash you partly caused (Medical payments coverage (MedPay) explained).
• Keep full UM/UIM. With UIM now stacking on top of the at-fault driver's limits by default, keeping it at your liability limits matters (uninsured and underinsured motorist coverage explained).
• Collision and comprehensive, plus gap insurance on a financed car.
• Higher liability limits or an umbrella policy if you have assets to protect.

What drives rates in Virginia

Virginia's NAIC average expenditure was $1,114 in 2023, below the national $1,281.60. That figure predates the 2025 increase in minimum limits, which raised the price of the cheapest policies. Northern Virginia and Hampton Roads have dense traffic and more claims than rural areas. Coastal storms and deer collisions affect physical-damage costs. The Insurance Research Council estimated 12.9% of Virginia drivers were uninsured in 2023, before the state's pay-to-drive-uninsured option ended.

Penalties for driving uninsured

According to the Virginia DMV, uninsured vehicle owners have their driving and registration privileges suspended. They must pay a $600 noncompliance fee and reinstatement fees and keep an SR-22 on file for three years. A payment plan is available to eligible owners (penalties for driving without insurance, what happens if your car insurance lapses).

SR-22 and high-risk drivers

Virginia uses two filings. An SR-22 is required after an uninsured-vehicle suspension, unsatisfied judgments and certain other offenses, and it must be maintained for three years after an uninsured suspension. An FR-44 is required after convictions for driving under the influence and related offenses. It certifies liability coverage of double the minimum limits in § 46.2-472, so the required FR-44 limits rise with the 2025 minimums. Not every insurer files FR-44s; see FR-44 insurance in Florida and Virginia, SR-22 insurance explained and Car insurance after a DUI.

Insurers with a strong presence in Virginia

State Farm and GEICO are among the largest writers in the state. Virginia Farm Bureau Insurance serves Farm Bureau members (Farm Bureau insurance: membership, eligibility and how it works). Erie Insurance sells through independent agents, and USAA is a major insurer for the large military population around Norfolk, Quantico and the Pentagon. Progressive, Allstate and Nationwide also compete broadly.

Where to get help

The Virginia State Corporation Commission's Bureau of Insurance consumer line is toll-free at 877-310-6560, and Property and Casualty Consumer Services can be reached at 804-371-9185. Complaints are filed through the Bureau's online Insurance Complaint Portal or by mail or fax, not by phone or email. The Bureau usually issues a final response within about 45 days. The SCC's headquarters is at 1300 East Main Street in Richmond, and the Bureau is online at scc.virginia.gov. The DMV handles suspensions, SR-22s, FR-44s and the noncompliance fee. Virginia allows two years to sue for personal injury and five years for property damage (§ 8.01-243; see statutes of limitations for car accident claims). Because contributory negligence can decide a claim, consult a licensed attorney early.