Vermont car insurance laws and requirements: What is changing in 2025

Q: Is it mandatory to have car insurance in Vermont?

Yes , Vermont requires that you carry at least the minimum mandatory coverage. Necessary coverage includes UIMBI, UMBI and UMPD 50/100 .

Q: Will my bare minimum car insurance cover me in another state?

Yes , your car insurance covers claims in another state, even if the minimums are higher in the other state.

Vermont car insurance laws

Vermont requires that drivers carry at least 25/50/10.

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, Vermont drivers should consider increasing liability limits and adding coverage, such as collision and comprehensive.

Vermont car insurance requirements

Vermont 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.

Vermont liability minimums are 25/50/10.

Uninsured/Underinsured motorist coverage (UM/UIM). Uninsured and underinsured motorist coverageAn auto insurance coverage that pays for injuries or damage if you're in an accident with a driver who has no insurance or not enough insurance. helps pay for your medical costs and property damage if the at-fault driver has little or no car insurance. Your insurer would cover expenses up to your limits in addition to any payments from the other insurer.

Vermont requires uninsured motorist coverage of 50/100.

The average cost of a minimum coverage policy is $306. However, Auto-Owners has the lowest minimum car insurance rates, averaging $232.

The table below shows the top insurers' average rates for minimum coverage in Vermont.

Company	Average annual premium	Average monthly premium
Auto-Owners	$232	$19
Allstate	$234	$19
State Farm	$264	$22
Geico	$286	$24
Vermont Mutual	$301	$25
Progressive	$344	$29
Nationwide	$382	$32
Co-operative Insurance Companies	$383	$32
Farmers	$466	$39
USAA	$168	$14

Read our methodology

Vermont car insurance cost for minimum coverage limits

On average, state minimum car insurance costs $306. Car insurance rates for minimum coverage vary by company and driver. The table below shows average rates for drivers with minimum coverage in Vermont.

The cheapest company for minimum coverage in Vermont is Auto-Owners at an average rate of $232 annually.

State minimum coverage limit	25/50/10
Average annual premium	$306
Average monthly premium	$25

Read our methodology

Are the Vermont minimum coverage requirements changing in 2025?

Vermont car insurance requirements will not change in 2025. You do not need to make any changes if you have minimum coverage. If mandatory coverage changes in the future, your insurer will inform you, along with any rate changes.

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 values of coverage 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 Vermont?

Vermont requires drivers to carry at least a minimum amount of car insurance to help offset accident costs.

Vermont 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.

Uninsured and underinsured motorist coverage is also required. Uninsured motorist coverage helps pay for coverage when the at-fault driver doesn't have car insurance, and underinsured coverage assists when the at-fault driver doesn't have enough car insurance to cover injury and property damage costs. Without these coverages, you would have to pay for medical and repair costs that the other driver's insurance didn't cover. You may be able to opt out of this coverage.

PEOPLE ASK:

Is Vermont minimum car insurance enough?

It may not be. Even a moderately serious accident could exceed the state minimum limits of 25/50/10, 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 Vermont?

Car insurance isn't one size fits all. The amount of coverage you need depends on your assets, net worth and risk level.

For example, if you are financially stable and can afford to pay out of pocket for medical costs and repairs, you may keep insurance limits low. However, you may be sued for the cost difference if you have a sizeable net worth and don't carry enough insurance to cover expenses.

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.

Vermont penalties for driving without car insurance

Since Vermont requires its drivers to carry car insurance, failing to do so has consequences. Although you may be tempted to skip coverage to save money, you'll wind up paying heavily in the long run.

Failing to carry Vermont car insurance has penalties including those listed below. Keep in mind that repeated infractions have more severe penalties, such as jail time.

Fines	$500
Other penalties	License suspension
Jail time	No

Read our methodology

Vermont minimum coverage cost by age group

Younger drivers pay for more car insurance because they lack experience behind the wheel. Fortunately, rates decrease as drivers age.

The table below breaks down the cost of car insurance for various age groups. Allstate has the best rates for teens with minimum coverage averaging $519. Allstate offers the cheapest coverage for adults at $232.

Male

Male
Female

Age	Company	Male annual premium	Male monthly premium
16	Auto-Owners	$721	$60
16	Allstate	$738	$62
16	Vermont Mutual	$768	$64
16	State Farm	$1,093	$91
16	Geico	$1,313	$109
16	Progressive	$1,373	$114
16	Co-operative Insurance Companies	$1,542	$129
16	Nationwide	$1,556	$130
16	Farmers	$2,457	$205
17	Allstate	$554	$46
17	Auto-Owners	$652	$54
17	State Farm	$949	$79
17	Vermont Mutual	$996	$83
17	Geico	$1,248	$104
17	Progressive	$1,370	$114
17	Co-operative Insurance Companies	$1,542	$129
17	Nationwide	$1,556	$130
17	Farmers	$2,131	$178
18	Allstate	$518	$43
18	Auto-Owners	$596	$50
18	State Farm	$815	$68
18	Vermont Mutual	$952	$79
18	Geico	$1,076	$90
18	Progressive	$1,179	$98
18	Co-operative Insurance Companies	$1,357	$113
18	Nationwide	$1,370	$114
18	Farmers	$1,868	$156
19	Allstate	$451	$38
19	Auto-Owners	$521	$43
19	State Farm	$700	$58
19	Geico	$844	$70
19	Vermont Mutual	$952	$79
19	Progressive	$961	$80
19	Nationwide	$1,169	$97
19	Farmers	$1,187	$99
19	Co-operative Insurance Companies	$1,321	$110
20	Allstate	$433	$36
20	Auto-Owners	$481	$40
20	State Farm	$604	$50
20	Geico	$660	$55
20	Progressive	$830	$69
20	Nationwide	$930	$78
20	Vermont Mutual	$952	$79
20	Farmers	$1,165	$97
20	Co-operative Insurance Companies	$1,285	$107
21	Allstate	$317	$26
21	Auto-Owners	$446	$37
21	State Farm	$512	$43
21	Geico	$520	$43
21	Vermont Mutual	$591	$49
21	Progressive	$628	$52
21	Nationwide	$689	$57
21	Co-operative Insurance Companies	$716	$60
22	Allstate	$298	$25
22	Auto-Owners	$415	$35
22	State Farm	$458	$38
22	Geico	$483	$40
22	Progressive	$546	$46
22	Vermont Mutual	$591	$49
22	Nationwide	$607	$51
22	Co-operative Insurance Companies	$716	$60
22	Farmers	$842	$70
23	Allstate	$287	$24
23	Auto-Owners	$387	$32
23	State Farm	$401	$33
23	Geico	$435	$36
23	Progressive	$493	$41
23	Nationwide	$565	$47
23	Vermont Mutual	$591	$49
23	Co-operative Insurance Companies	$716	$60
23	Farmers	NA	NA
24	Allstate	$283	$24
24	State Farm	$353	$29
24	Auto-Owners	$363	$30
24	Geico	$435	$36
24	Progressive	$456	$38
24	Nationwide	$534	$45
24	Vermont Mutual	$591	$49
24	Co-operative Insurance Companies	$716	$60
24	Farmers	$728	$61
25	Allstate	$265	$22
25	State Farm	$314	$26
25	Auto-Owners	$342	$29
25	Geico	$361	$30
25	Progressive	$407	$34
25	Nationwide	$453	$38
25	Vermont Mutual	$458	$38
25	Co-operative Insurance Companies	$512	$43
25	Farmers	$529	$44
30	Allstate	$237	$20
30	State Farm	$262	$22
30	Auto-Owners	$288	$24
30	Geico	$298	$25
30	Vermont Mutual	$330	$28
30	Progressive	$369	$31
30	Nationwide	$393	$33
30	Co-operative Insurance Companies	$402	$34
30	Farmers	$474	$40
35	Allstate	$237	$20
35	Auto-Owners	$261	$22
35	State Farm	$261	$22
35	Geico	$298	$25
35	Vermont Mutual	$330	$28
35	Progressive	$347	$29
35	Nationwide	$390	$33
35	Co-operative Insurance Companies	$402	$34
35	Farmers	$461	$38
40	Allstate	$237	$20
40	Auto-Owners	$243	$20
40	State Farm	$264	$22
40	Geico	$298	$25
40	Vermont Mutual	$301	$25
40	Progressive	$335	$28
40	Nationwide	$379	$32
40	Co-operative Insurance Companies	$383	$32
40	Farmers	$457	$38
45	Auto-Owners	$234	$20
45	Allstate	$237	$20
45	State Farm	$266	$22
45	Geico	$298	$25
45	Vermont Mutual	$301	$25
45	Progressive	$326	$27
45	Nationwide	$379	$32
45	Co-operative Insurance Companies	$383	$32
45	Farmers	$446	$37
50	Allstate	$219	$18
50	Auto-Owners	$230	$19
50	Geico	$248	$21
50	State Farm	$262	$22
50	Vermont Mutual	$271	$23
50	Progressive	$312	$26
50	Co-operative Insurance Companies	$328	$27
50	Nationwide	$369	$31
50	Farmers	$419	$35
55	Allstate	$219	$18
55	Auto-Owners	$230	$19
55	Geico	$248	$21
55	State Farm	$257	$21
55	Vermont Mutual	$271	$23
55	Progressive	$298	$25
55	Co-operative Insurance Companies	$328	$27
55	Nationwide	$344	$29
55	Farmers	$394	$33
60	Allstate	$226	$19
60	Auto-Owners	$234	$20
60	Geico	$248	$21
60	State Farm	$251	$21
60	Vermont Mutual	$271	$23
60	Progressive	$300	$25
60	Co-operative Insurance Companies	$328	$27
60	Nationwide	$333	$28
60	Farmers	$389	$32
65	Auto-Owners	$243	$20
65	State Farm	$251	$21
65	Geico	$258	$22
65	Allstate	$270	$23
65	Vermont Mutual	$301	$25
65	Progressive	$306	$26
65	Co-operative Insurance Companies	$346	$29
65	Nationwide	$366	$31
65	Farmers	$390	$33
70	Auto-Owners	$258	$22
70	State Farm	$264	$22
70	Allstate	$270	$23
70	Geico	$291	$24
70	Vermont Mutual	$301	$25
70	Co-operative Insurance Companies	$346	$29
70	Progressive	$352	$29
70	Farmers	$405	$34
70	Nationwide	$415	$35
75	Vermont Mutual	$271	$23
75	State Farm	$291	$24
75	Auto-Owners	$308	$26
75	Allstate	$320	$27
75	Geico	$363	$30
75	Co-operative Insurance Companies	$420	$35
75	Farmers	$437	$36
75	Progressive	$450	$38
75	Nationwide	$483	$40
16	USAA	$989	$82
17	USAA	$642	$54
18	USAA	$514	$43
19	USAA	$430	$36
20	USAA	$375	$31
21	USAA	$285	$24
22	USAA	$262	$22
23	USAA	$245	$20
24	USAA	$231	$19
25	USAA	$214	$18
30	USAA	$176	$15
35	USAA	$171	$14
40	USAA	$166	$14
45	USAA	$162	$14
50	USAA	$159	$13
55	USAA	$157	$13
60	USAA	$159	$13
65	USAA	$168	$14
70	USAA	$188	$16
75	USAA	$215	$18

Read our methodology

Age	Company	Female annual premium	Female monthly premium
16	Auto-Owners	$657	$55
16	Allstate	$614	$51
16	Vermont Mutual	$768	$64
16	State Farm	$865	$72
16	Geico	$1,013	$84
16	Progressive	$1,279	$107
16	Co-operative Insurance Companies	$1,267	$106
16	Nationwide	$1,212	$101
16	Farmers	$2,380	$198
17	Allstate	$464	$39
17	Auto-Owners	$593	$49
17	State Farm	$750	$63
17	Vermont Mutual	$996	$83
17	Geico	$963	$80
17	Progressive	$1,266	$106
17	Co-operative Insurance Companies	$1,267	$106
17	Nationwide	$1,212	$101
17	Farmers	$2,040	$170
18	Allstate	$435	$36
18	Auto-Owners	$540	$45
18	State Farm	$652	$54
18	Vermont Mutual	$952	$79
18	Geico	$902	$75
18	Progressive	$1,086	$91
18	Co-operative Insurance Companies	$1,082	$90
18	Nationwide	$1,070	$89
18	Farmers	$1,789	$149
19	Allstate	$380	$32
19	Auto-Owners	$472	$39
19	State Farm	$567	$47
19	Geico	$686	$57
19	Vermont Mutual	$952	$79
19	Progressive	$876	$73
19	Nationwide	$905	$75
19	Farmers	$1,116	$93
19	Co-operative Insurance Companies	$1,045	$87
20	Allstate	$366	$31
20	Auto-Owners	$435	$36
20	State Farm	$500	$42
20	Geico	$647	$54
20	Progressive	$756	$63
20	Nationwide	$769	$64
20	Vermont Mutual	$952	$79
20	Farmers	$1,075	$90
20	Co-operative Insurance Companies	$1,008	$84
21	Allstate	$278	$23
21	Auto-Owners	$402	$34
21	State Farm	$433	$36
21	Geico	$478	$40
21	Vermont Mutual	$591	$49
21	Progressive	$587	$49
21	Nationwide	$606	$51
21	Co-operative Insurance Companies	$663	$55
22	Allstate	$261	$22
22	Auto-Owners	$374	$31
22	State Farm	$397	$33
22	Geico	$466	$39
22	Progressive	$516	$43
22	Vermont Mutual	$591	$49
22	Nationwide	$537	$45
22	Co-operative Insurance Companies	$663	$55
22	Farmers	$753	$63
23	Allstate	$252	$21
23	Auto-Owners	$349	$29
23	State Farm	$351	$29
23	Geico	$410	$34
23	Progressive	$476	$40
23	Nationwide	$500	$42
23	Vermont Mutual	$591	$49
23	Co-operative Insurance Companies	$663	$55
23	Farmers	$742	$62
24	Allstate	$249	$21
24	State Farm	$320	$27
24	Auto-Owners	$326	$27
24	Geico	$386	$32
24	Progressive	$447	$37
24	Nationwide	$469	$39
24	Vermont Mutual	$591	$49
24	Co-operative Insurance Companies	$663	$55
24	Farmers	$675	$56
25	Allstate	$248	$21
25	State Farm	$291	$24
25	Auto-Owners	$307	$26
25	Geico	$311	$26
25	Progressive	$398	$33
25	Nationwide	$420	$35
25	Vermont Mutual	$330	$28
25	Co-operative Insurance Companies	$512	$43
25	Farmers	$585	$49
30	Allstate	$231	$19
30	State Farm	$262	$22
30	Auto-Owners	$259	$22
30	Geico	$273	$23
30	Vermont Mutual	$330	$28
30	Progressive	$378	$32
30	Nationwide	$385	$32
30	Co-operative Insurance Companies	$402	$34
30	Farmers	$488	$41
35	Allstate	$231	$19
35	Auto-Owners	$235	$20
35	State Farm	$261	$22
35	Geico	$273	$23
35	Vermont Mutual	$330	$28
35	Progressive	$375	$31
35	Nationwide	$385	$32
35	Co-operative Insurance Companies	$402	$34
35	Farmers	$480	$40
40	Allstate	$231	$19
40	Auto-Owners	$221	$18
40	State Farm	$264	$22
40	Geico	$273	$23
40	Vermont Mutual	$301	$25
40	Progressive	$353	$29
40	Nationwide	$385	$32
40	Co-operative Insurance Companies	$383	$32
40	Farmers	$474	$40
45	Auto-Owners	$214	$18
45	Allstate	$231	$19
45	State Farm	$266	$22
45	Geico	$273	$23
45	Vermont Mutual	$301	$25
45	Progressive	$344	$29
45	Nationwide	$374	$31
45	Co-operative Insurance Companies	$383	$32
45	Farmers	$464	$39
50	Allstate	$219	$18
50	Auto-Owners	$210	$18
50	Geico	$248	$21
50	State Farm	$262	$22
50	Vermont Mutual	$271	$23
50	Progressive	$318	$27
50	Co-operative Insurance Companies	$328	$27
50	Nationwide	$358	$30
50	Farmers	$442	$37
55	Allstate	$219	$18
55	Auto-Owners	$210	$18
55	Geico	$248	$21
55	State Farm	$257	$21
55	Vermont Mutual	$271	$23
55	Progressive	$293	$24
55	Co-operative Insurance Companies	$328	$27
55	Nationwide	$344	$29
55	Farmers	$416	$35
60	Allstate	$226	$19
60	Auto-Owners	$214	$18
60	Geico	$248	$21
60	State Farm	$251	$21
60	Vermont Mutual	$271	$23
60	Progressive	$296	$25
60	Co-operative Insurance Companies	$328	$27
60	Nationwide	$347	$29
60	Farmers	$408	$34
65	Auto-Owners	$221	$18
65	State Farm	$251	$21
65	Geico	$258	$22
65	Allstate	$270	$23
65	Vermont Mutual	$301	$25
65	Progressive	$300	$25
65	Co-operative Insurance Companies	$346	$29
65	Nationwide	$363	$30
65	Farmers	$437	$36
70	Auto-Owners	$235	$20
70	State Farm	$264	$22
70	Allstate	$270	$23
70	Geico	$291	$24
70	Vermont Mutual	$301	$25
70	Co-operative Insurance Companies	$346	$29
70	Progressive	$324	$27
70	Farmers	$464	$39
70	Nationwide	$393	$33
75	Vermont Mutual	$271	$23
75	State Farm	$291	$24
75	Auto-Owners	$278	$23
75	Allstate	$320	$27
75	Geico	$363	$30
75	Co-operative Insurance Companies	$420	$35
75	Farmers	$519	$43
75	Progressive	$369	$31
75	Nationwide	$417	$35
16	USAA	$1,005	$84
17	USAA	$650	$54
18	USAA	$512	$43
19	USAA	$425	$35
20	USAA	$376	$31
21	USAA	$285	$24
22	USAA	$263	$22
23	USAA	$247	$21
24	USAA	$233	$19
25	USAA	$217	$18
30	USAA	$179	$15
35	USAA	$173	$14
40	USAA	$170	$14
45	USAA	$165	$14
50	USAA	$163	$14
55	USAA	$161	$13
60	USAA	$162	$14
65	USAA	$170	$14
70	USAA	$190	$16
75	USAA	$215	$18

Read our methodology

Vermont minimum coverage cost by city

Newport drivers pay the least for minimum coverage in Vermont at $298. However, Winooski pay the most at $352.

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 Vermont.

City	Average annual premium	Average monthly premium
Newport	$298	$25
St. Albans	$302	$25
Bellows Falls	$304	$25
Barre	$305	$25
Montpelier	$305	$25
Rutland	$325	$27
Essex Junction	$333	$28
South Burlington	$351	$29
Burlington	$352	$29
Winooski	$352	$29

Read our methodology

Optional car insurance coverage in Vermont

Vermont requires drivers to carry car insurance to pay for injuries and damages caused to others. However, drivers don't have to carry coverage for their vehicle unless required by a loan or lease.

Drivers may choose optional coverages such as:

Collision. Collision coverage pays for damages to your vehicle if you cause an accident.
Comprehensive. This coverage pays for damages 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. If you run out of gas, need a tire changed, or have a dead battery roadside assistance will send someone to help.
Gap. Gap coverage pays the difference between what you owe on a car loan and the vehicle's value.

Methodology

Insurance.com commissioned state minimum car insurance rates from Quadrant Information Systems based on a 40-year-old driver with good credit and a clean driving history, driving a 2023 Honda Accord LX. Rates are based on all coverages required by law at minimum coverage limits. Rates were also fielded for various additional age groups. State laws were gathered from state DMV and insurance department websites.

Vermont car insurance laws and requirements: FAQs

Is it mandatory to have car insurance in Vermont?

Yes, Vermont requires that you carry at least the minimum mandatory coverage. Necessary coverage includes UIMBI, UMBI and UMPD 50/100.

Will my bare minimum car insurance cover me in another state?

Yes, your car insurance covers claims in another state, even if the minimums are higher in the other state.

What happens if I drive without car insurance in Vermont?

If you're caught driving without car insurance in Vermont, 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.