Arkansas car insurance laws
Arkansas car insurance law requires drivers to carry at least 25/50/25 in liability coverage. These minimum limits help pay for injuries and property damage when an insured driver causes an accident. However, the required limits may not be enough in a serious crash, leaving the driver responsible for the remaining expenses.
These limits are in place to ease the financial burden for drivers who cause an accident and for the victims. The at-fault driver knows their insurer will cover medical expenses and property damage up to a certain amount, and victims can more readily access funds to pay for accident costs.
However, coverage limits are very low and will not cover expenses from a serious accident. To be better protected, Arkansas drivers should consider increasing liability limits and adding coverage, such as collision and comprehensive.
Arkansas car insurance requirements
Drivers in Arkansas must carry the coverage required by state law, including liability insuranceLiability insurance covers sums that an insured becomes legally obligated to pay because of bodily injuries or property damage, or financial losses caused to other people. and any other mandatory protections. The minimum liability limits are 25/50/25. These limits help pay for injuries, property damage, and other required accident-related expenses covered under Arkansas law.
Arkansas requires the following coverage:
Liability. There are two parts to liability coverage. First, bodily injury liability pays medical costs associated with an accident, such as doctor visits, surgery, and prescriptions. Second, property damage liability covers repairing or replacing items such as vehicles, fences, or buildings.
Arkansas liability minimums are 25/50/25.
The average cost of a minimum coverage policy is $503. However, GEICO has the lowest minimum car insurance rates, averaging $327.
GEICO has the lowest minimum car insurance rates, averaging $327.
The table below shows the average rates of the top insurers for minimum coverage in Arkansas.
| Company | Average annual premium | Average monthly premium |
|---|---|---|
| GEICO | $327 | $27 |
| Southern Farm Bureau | $420 | $35 |
| Travelers | $447 | $37 |
| Progressive | $458 | $38 |
| Shelter Insurance | $482 | $40 |
| Alfa Insurance | $497 | $41 |
| Nationwide | $612 | $51 |
| Farmers | $670 | $56 |
| Allstate | $854 | $71 |
| USAA | $262 | $22 |
Arkansas car insurance cost for minimum coverage limits
The average cost of minimum coverage car insurance in Arkansas is $503. GEICO offers the cheapest average policy at $327 annually. However, your actual rate will depend on the company you choose and personal factors such as your age, address, and driving record.
| State minimum coverage limit | 25/50/25 |
| Average annual premium | $503 |
| Average monthly premium | $42 |
Are the minimum coverage requirements changing in 2026 in Arkansas?
The minimum car insurance requirements in Arkansas will remain the same in 2026. Drivers who already meet the state's mandatory coverage limits do not need to change their policies. If the law changes in the future, insurers will notify customers about the new requirements and any effect on premiums.
Why do limits change?
"Several states have minimum requirements of property damage of $10,000-$25,000," says Zack Pope, agency manager at David Pope Insurance in Missouri. "[Given] the current values of vehicles, that's extremely antiquated coverage values and a main reason that I personally do not offer less than 100/300/100 to customers. It is significantly easier to see a car on the road that is valued at $100,000 than it has been in the past."
What does minimum car insurance cover in Arkansas?
Minimum car insurance in Arkansas covers certain accident-related expenses up to the limits required by law. Liability coverage pays for injuries and property damage you cause to others. These coverages pay for injuries, property damage, and other losses included under Arkansas's minimum insurance requirements.
Arkansas requires drivers to carry at least a minimum amount of car insurance to help offset accident costs.
Arkansas drivers are required to carry liability coverage. Bodily injury liability helps pay for injuries you cause to others in an accident. Property damage liability covers items damaged in an accident, such as another vehicle, fence, or other property.
Arkansas is a no-fault state, meaning your insurer pays for your injuries and damages regardless of who caused the accident. The law requires you to carry personal injury protectionPersonal injury protection (PIP) pays for your medical, hospital and funeral expenses resulting from a car accident, regardless of who's at fault. (PIP) to pay medical costs, such as doctor visits and prescriptions.
PEOPLE ASK:
Is Arkansas minimum car insurance enough?
It may not be. Even a moderately serious accident could exceed the state minimum limits of 25/50/25, and minimum coverage may not cover all accident costs. Furthermore, state minimums do not cover your vehicle; you need to add comprehensive and collision coverage.
How much car insurance is enough in Arkansas?
The amount of car insurance you need in Arkansas depends on your assets, income, savings, and vehicle. Higher liability limits can protect you from lawsuits and major out-of-pocket expenses. Drivers with financed or leased vehicles will also need collision and comprehensive coverageComprehensive coverage helps pay for damage to your car caused by events other than a collision, such as theft, fire, vandalism, or natural disasters. It is subject to a deductible..
Drivers with substantial savings, property, or other assets should avoid choosing limits that are too low. If you cause an accident that exceeds your policy limits, the injured party may pursue your income or assets for the remaining costs.
Additionally, if you drive very little or have a short commute, your chances of causing an accident are relatively low. Also, you may choose to skip coverages such as collision and comprehensive if your car isn't worth much, or you can afford to pay for a new vehicle if yours is damaged. However, if you have a loan or lease, you will be required to carry this coverage by your lender.
Consider your financial situation when determining how much car insurance you need.
Arkansas penalties for driving without car insurance
Driving without required insurance in Arkansas may lead to fines, license suspension, registration penalties and more expensive insurance in the future. Repeated violations may result in harsher consequences. If you cause an accident without coverage, you will also have to pay medical bills and property damage costs yourself.
Failing to carry Arkansas car insurance has penalties, including those listed below. Keep in mind that repeated infractions have more severe penalties, such as jail time.
| Fines | $250-$500 |
| Other penalties | License and registration suspension |
| Jail time | Yes |
Arkansas minimum coverage cost by age group
Minimum coverage rates in Arkansas vary significantly by age because insurers use driving experience and claimAn insurance claim is a request you make to your insurance company for coverage after your car is damaged or you have an accident. You can file a claim online, by phone, or in writing. risk when setting premiums. Younger drivers generally pay the highest rates, while premiums often decrease as drivers gain experience. GEICO is the cheapest for teens, and GEICO is the cheapest for adults.
The table below breaks down the cost of car insurance for various age groups. GEICO has the best rates for teens, with minimum coverage averaging $1,162. GEICO offers the cheapest coverage for adults at $330.
Additionally, females and males pay different rates. The average rate for a 40-year-old female is $515, and the average rate for a 40-year-old male is $491, a difference of $24.
Arkansas minimum coverage cost by city
Springdale drivers pay the least for minimum coverage in Arkansas at $538. On the other hand, drivers in Little Rock pay the most at $685.
Car insurance rates vary by city. For example, drivers in larger cities with a high traffic volume or vehicle theft rate pay higher rates.
The table below shows average minimum coverage rates for cities in Arkansas.
| City | Average annual premium | Average monthly premium |
|---|---|---|
| Bentonville | $551 | $46 |
| Conway | $563 | $47 |
| Fayetteville | $548 | $46 |
| Fort Smith | $543 | $45 |
| Jonesboro | $597 | $50 |
| Little Rock | $685 | $57 |
| North Little Rock | $647 | $54 |
| Pine Bluff | $601 | $50 |
| Rogers | $539 | $45 |
| Springdale | $538 | $45 |
Optional car insurance coverage in Arkansas
The minimum coverage required in Arkansas does not protect your vehicle against most types of damage. Optional insurance, such as collision and comprehensive, will pay to repair or replace your car. Rental reimbursement, roadside assistance, and gap coverage can also help with costs that are not included in a minimum liability policy.
Drivers may choose optional coverages such as:
- Collision coverage. Collision coverage pays for damage to your vehicle if you cause an accident.
- Comprehensive coverage. This coverage pays for damage to your car unrelated to an accident, such as fire, flood, falling debris, and hail.
- Rental car coverage. This pays for a rental car if your vehicle is being repaired for a covered claim and usually has time and cost limits.
- Roadside assistance coverage. If you run out of gas, need a tire changed, or have a dead battery, roadside assistance will send someone to help.
- Gap coverage. Gap coverage pays the difference between what you owe on a car loan and the vehicle's value.
Why do limits change?
Minimum car insurance limits change when state lawmakers determine that existing coverage amounts are no longer sufficient to meet current accident costs. As vehicle prices, repair bills and medical expenses rise, lower liability limits may leave both accident victims and at-fault drivers with large unpaid balances.
Methodology
Insurance.com partners with Quadrant Information Services to field average car insurance rates across all 50 states and Washington, D.C. National and state average rates are based on state minimum coverage and on the following parameters:
- 40-year-old driver
- Honda Accord LX
- Good credit
- A clean driving record
- 12-mile commute, 10,000 annual mileage
State laws were gathered from state DMV and insurance department websites.
Learn more about our data and methodology.
Arkansas car insurance laws and requirements: FAQs
Is it mandatory to have car insurance in Arkansas?
Yes, drivers in Arkansas must carry the minimum coverage required by state law. Required coverage includes 25/50/25. Failing to maintain mandatory insurance can lead to fines, license or registration penalties, and higher insurance costs when you purchase another policy.
Will my bare minimum car insurance cover me in another state?
Yes, your car insurance will cover an eligible claim when you drive in another state. If the state where the accident occurs requires higher liability limits, your policy will automatically adjust to meet those limits for the claim. However, this does not add collision or comprehensive coverage to a minimum policy.
What happens if I drive without car insurance in Arkansas?
If you're caught driving without car insurance in Arkansas, you may face fines, a driver's license suspension, having your vehicle impounded, and increased car insurance rates. Additionally, you may face jail time, especially for multiple violations.
Compare state minimum requirements with other states
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