More Changes to Virginia’s Auto Insurance Laws
Effective July 1, 2024, Virginia joined the majority of states by requiring residents with registered vehicles to drive with and provide proof of auto insurance, leaving behind New Hampshire as the only state to allow uninsured drivers.[1] This change comes on the heels of last year’s law providing for the stacking of UM/UIM coverage.
The purpose of the new law is to reduce the number of uninsured motorists on the road, which, according to the Virginia Department of Motor Vehicles, is nearly 6,100 Virginians.[2] Prior to this change, Virginians had the option of registering an uninsured vehicle by paying a $500 fee. Under the new law, residents wishing to register their vehicles in the state will be required to show proof of insurance prior to registration. Virginia currently requires that all auto insurance policies effective on or after January 1, 2022, but prior to January 1, 2025, shall maintain minimum coverage limits of a 30/60/20, meaning $30,000 of bodily injury coverage to one person, $60,000 of bodily injury coverage per accident, and $20,000 of property damage liability coverage.[3]
For all auto policies effective on or after January 1, 2025, the policy minimums will transition to 50/100/25, meaning Virginia drivers must possess $50,000 in minimum auto policy coverage for bodily injury to one person, $100,000 of bodily injury coverage per accident, and $25,000 minimum for property damage.[4] Failure to comply with the new law could result in the imposition of a fine and loss or suspension of license, registration, and plates. To reinstate these privileges, you must pay a $600 noncompliance fee, file a financial responsibility certificate with the Virginia Department of Motor Vehicles for three years, and pay a reinstatement fee.
For more information, contact Tamara B. Goorevitz.
[1] Repeal of SB 951 Uninsured motorist fee and codified in the Va. Code Ann. § 46.2-706
[2] Virginia Drivers Required to Have Car insurance Starting July 1