How much car insurance do I need?
How much car insurance you need depends on the coverage your state or lender requires and how much financial risk you want to protect against. Liability limits, vehicle coverage, and medical coverage all play a role in how much protection makes sense for you. The right amount comes down to what you own, what you owe, and how much you could afford after an accident.
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How much car insurance is enough for most drivers?
Coverage needs vary based on factors like your finances and the type of vehicle you drive. If you have savings, property, or income to protect you should consider higher liability coverage limits. Likewise, if you lease or finance a vehicle you may need comprehensive and collision coverage as part of your loan or lease agreement.
Your vehicle's value may also affect how much insurance you need. Drivers who couldn't easily replace their car may want coverage that helps pay for repairs or replacement after an accident. Medical payments coverage may be worth considering if health insurance wouldn't fully cover accident-related expenses.
What kind of car insurance coverage do I need?
Looking for a quick take on which coverages you may need? This table breaks down the most common car insurance coverages, what they cover, and when they apply. Not every coverage is required or needed for every driver.
| Coverage | What it covers | Required or optional? |
|---|---|---|
| Liability | What it coversInjuries and property damage you cause to others | Required or optional?Required in most states |
| Collision | What it coversDamage to your vehicle after a collision | Required or optional?Often required for leased or financed vehicles |
| Comprehensive | What it coversDamage from non-collision events like theft or weather | Required or optional?Often required for leased or financed vehicles |
| Uninsured/underinsured motorist | What it coversInjuries or damage caused by a driver with too little or no insurance | Required or optional?Required or optional, depending on state |
| Medical payments (MedPay) | What it coversMedical bills after an accident | Required or optional?Required or optional, depending on state |
| Personal Injury Protection (PIP) | What it coversMedical bills, funeral expenses, and more after an accident | Required or optional?Required or optional, depending on state |
How much liability insurance do I need?
Liability coverage is required in most states. It helps pay for injuries and property damage you cause to others in an accident, including medical bills or damage to another vehicle.
If accident-related costs exceed your policy limits, you may have to pay the remaining expenses out of pocket. These costs may include medical bills, repairs or replacement of damaged property, or legal expenses related to a claim or lawsuit. For this reason, many drivers choose liability limits above their state's minimum requirements. Higher limits can help protect savings, property, and future income if you're liable for an accident.
Use our car insurance calculator to estimate how much liability coverage, and other types of coverage, is right for you.
Do I need comprehensive & collision coverage?
You may need comprehensive and collision coverage to help pay for damage to your own vehicle. Lenders often require both if you lease or finance your car. If you own your car outright, the decision comes down to the vehicle's value and whether you can afford repairs or replacement after a loss.
Comprehensive auto coverage
Comprehensive coverage may pay for damage from things outside your control, such as theft, vandalism, fire, collisions with animals, broken glass, and damage from weather. At Progressive, the average monthly cost of comprehensive coverage is $19 for a six-month policy.*
Important note: If you decide to add comprehensive coverage, make sure you choose a deductible that you could afford if you were to file a claim. A high deductible may save you more on car insurance per policy period, but you could end up with high out-of-pocket expenses if you file a claim. Learn more about comprehensive coverage and choosing the right deductible.
Collision coverage
Collision coverage may pay to repair or replace your car if it's damaged in an accident with another vehicle or object such as a street sign or guardrail. With Progressive, your collision coverage can also pay up to $1,000 for your pet's medical bills if they're injured in a covered accident.
Collision is typically worth having if you can't afford to pay out of pocket for damage to your car or your vehicle is worth more than a few thousand dollars. With Progressive, collision coverage costs around $45 per month on average for a six-month policy.*
Important note: If you add collision coverage to your policy, make sure you choose a deductible you can afford to pay. Learn more about collision insurance.
How much medical payments coverage do I need?
Medical payments coverage, or MedPay, typically covers medical expenses for you and your passengers after an accident, even if you're riding in someone else's car.
MedPay is required in two states: Maine and New Hampshire (if you choose to buy car insurance).
The amount of coverage you need often depends on whether you have health insurance. If you do, some drivers choose a limit that helps cover deductibles or out-of-pocket costs. If you or your passengers don't have health insurance, higher limits may offer more protection.
Example:Chris causes an accident that results in $15,000 worth of medical bills for the injured driver. His policy covers up to $50,000 in bodily injury per person and up to $100,000 in bodily injury total per accident. Since his per person and per accident limits are well above the claim amount, his insurance could fully pay for the injured driver's medical bills.
How much personal injury protection do I need?
Personal injury protection, or PIP, is like MedPay in that it covers you or your passengers' medical bills. In some states, it may also help cover lost wages, funeral expenses, and even housecleaning or child care services if your injuries prevent you from completing daily activities, up to your policy's limits.
Some states require PIP, but it isn't required or offered in most.
How much PIP you need often depends on what other coverage you have. If your health insurance or other policies would cover most accident-related expenses, minimum PIP coverage may be enough. Some drivers choose higher PIP limits when they want added protection for costs that health insurance may not fully cover, such as time away from work or expenses related to caring for dependents after an accident.
Learn more about personal injury protection, including choosing the right coverages and amounts.
How much uninsured/underinsured motorist coverage do I need?
Uninsured or underinsured motorist coverage (UM) protects you if you're hit by a driver who has no insurance or not enough insurance to cover the cost of an accident.
Some states require UM/UIM coverage, but most do not. You may need to carry UM/UIM coverage if you lease or finance your vehicle, depending on your lender.
How much coverage you need depends on how much protection you want. In some states, drivers choose uninsured and underinsured motorist limits that match their liability coverage so they have similar protection no matter who is at fault in an accident.
Do I need comprehensive & collision coverage?
Comprehensive auto coverage
What does it cover? Comprehensive coverage protects your vehicle from things outside your control, such as theft, vandalism, fire, collisions with animals, glass breakage, and damage from weather.
Is it required? No states require comprehensive coverage. However, if you lease or finance your vehicle, your lender will typically require you to carry it.
Should I have comprehensive coverage? Even if you own your car outright, comprehensive coverage might be worth having if your car is worth more than a few thousand dollars or if you can't afford to make repairs or buy a new one if it's damaged. At Progressive, the average monthly cost of comprehensive coverage is $18 for a six-month policy.
Important note: If you decide to add comprehensive coverage, make sure you choose a deductible that you could afford if you were to file a claim. A high deductible may save you more on car insurance per policy period, but you could end up with high out-of-pocket expenses if you file a claim. Learn more about comprehensive coverage and choosing the right deductible.
Example:Caitlyn, Chris’ wife, is driving late at night when a deer suddenly jumps in front of her car, causing $5,000 in damage. Unfortunately, they don’t have comprehensive coverage and are on the hook for the full $5,000 to repair Caitlyn’s car, which, despite being five years old, is still worth around $11,000. If they had comprehensive with even a deductible of $1,000, they would have still saved close to $4,000 in repair bills after factoring in the cost of coverage.
Collision coverage
What does it cover? Collision pays to repair or replace your car if it’s damaged in an accident with another vehicle or object (such as a street sign or guardrail). With Progressive, your collision coverage can also pay up to $1,000 for your pet’s medical bills if they’re injured in a covered accident.
Is it required? No states require collision coverage, but many lenders will require you to add collision insurance if you lease or finance your vehicle.
Should I have collision insurance? As with comprehensive coverage, collision is typically worth having if you can’t afford to pay out of pocket for damages to your car or your vehicle is worth more than a few thousand dollars. With Progressive, collision coverage costs around $45 per month on average for a six-month policy.*
Important note: If you add collision coverage to your policy, make sure you choose a deductible you can afford to pay. Learn more about collision insurance.
Example:Chris leaves his car parked on the street overnight. In the morning, he discovers that someone hit his rear bumper, causing $1,000 in damage. Chris doesn’t have collision coverage on his car, as it’s only worth around $2,000. He decided it wasn’t worth having on his car since any claim payout would be minimal, even with a low deductible. Plus, he knew he could afford to pay for repairs or a new car.
How much medical payments coverage do I need?
What does it cover? Medical payments coverage, or MedPay, typically covers medical expenses you or your passengers receive after a car accident, even if you’re riding in someone else’s car.
Is it required? MedPay is required in just two states: Maine and New Hampshire (if you choose to buy car insurance).
How much MedPay coverage should I have? Coverage limits typically start at $1,000 per person and max out at $10,000 per person. If you have health insurance, it might be worth getting enough coverage to pay for your health plan’s deductible. If you and your passengers don’t have health insurance, you should consider a higher limit or maxing out your coverage.
Important note: Personal injury protection (PIP) also provides coverage for medical expenses, in addition to lost wages and funeral expenses. If you have a choice between PIP and MedPay, PIP is almost always a better choice due to its expanded coverages.
Example:Caitlyn and Chris are in an accident while riding as passengers in their friend Ted’s car. Everyone is OK, but Chris and Caitlyn get checked out at the hospital just to be on the safe side. Chris gets a $750 X-ray, while Caitlyn gets a $1,000 CT scan. Fortunately, they have MedPay coverage up to $2,000 per person, so their auto insurance pays for both of their bills.
How much personal injury protection do I need?
What does it cover? Personal injury protection, or PIP, is like MedPay in that it covers you or your passengers’ medical bills. However, depending on your state, it can also cover lost wages, funeral expenses, and even housecleaning or child care services if your injuries prevent you from doing regular activities.
Is it required? Some states require PIP, but it isn’t required or offered in most.
How much PIP coverage should I have? PIP coverage limits vary between states, with some maxing out below $10,000 per person or as high as $25,000 per person. If you already have health insurance or other insurance policies that cover the same expenses as PIP, your state’s minimum coverage levels may suffice. However, you should consider adding more PIP coverage if:
- You have health insurance with low limits, coverage gaps, or high deductibles and co-pays
- You want additional coverage for lost wages, funeral expenses, or child care
- You frequently give rides to other people who could hold you responsible for medical expenses after an accident
Example:It’s Chris’ turn to lead the office carpool. After picking up three of his colleagues, he ends up in a fender bender that leaves two of his co-workers with $500 in medical bills each. They file a claim with Chris’ insurance which provides $2,000 in PIP coverage per person — enough to cover both of their medical bills.
Learn more about personal injury protection, including choosing the right coverages and amounts.
How much uninsured/underinsured motorist coverage do I need?
What does it cover? Uninsured motorist coverage (UM) protects you if you’re hit by a driver who doesn’t have insurance. Underinsured motorist coverage (UIM) provides coverage if the at-fault driver’s liability limits are too low to cover all your medical bills or damages.
UM and UIM coverage is often written out the same way as liability coverage. For example: $15,000 bodily injury per person / $30,000 total bodily injury per accident / $15,000 for property damage per accident. Some states may list UM/UIM motorist property damage separately from UM/UIM bodily injury limits. Also, you can sometimes drop UM/UIM property damage coverage if you have collision, since these two coverages overlap.
Is it required? Some states require UM/UIM coverage, but most do not. You may also need to carry UM/UIM coverage if you lease or finance your vehicle, depending on your lender.
How much UM/UIM coverage should I have? There are several states that require your UM/UIM coverage limits to match your liability insurance limits. But even if your state doesn’t require it, having the same limits for your UM/UIM and liability coverage is a good idea so you have an equal amount of protection both when you’re at fault or when you’re hit by someone else.
Thinking about increasing your limits? You’re in good company — many Progressive customers choose higher UM limits than the required minimum.
Important note: If you live in a state with a high percentage of uninsured drivers, but UM coverage isn’t required, you should strongly consider buying coverage. New Mexico, for example, had an estimated uninsured driver rate of 20.8% in 2015, according to the Insurance Research Council. Learn more about UM/UIM coverage.
Example:Caitlyn and Chris are rear-ended by another driver who doesn’t have insurance. The damage to their car totals $3,500. But since they have uninsured motorist coverage for up to $5,000 in property damage, their insurance pays for the repairs.
What additional coverages should I consider?
Rideshare insurance
Rideshare insurance is a smart choice (often a required choice) if you drive under a ridesharing platform like Uber or Lyft. Rideshare coverage fills the gaps between your personal insurance and any insurance provided by the ridesharing company so you’re always protected, whether you’re waiting for a ride request or dropping someone off. Learn more about how rideshare insurance works.
Gap insurance
If you’re leasing or financing your vehicle, gap insurance may be right for you. This optional coverage pays the difference between what you owe on your vehicle and how much it’s worth. So, if your car gets totaled, you’ll receive the actual cash value of your vehicle, plus the additional amount you owe on it so you can pay off your loan or lease. Bear in mind, you’ll need comprehensive and collision coverage to add gap coverage. Learn more about gap insurance.
Pro tip:
Personal injury protection (PIP) also provides coverage for medical expenses, in addition to lost wages and funeral expenses. If you have a choice between PIP and MedPay, PIP is almost always a better choice due to its expanded coverage.
How to get the right car insurance coverages
New Progressive customers
Call 1-866-749-7436 or get a car insurance quote online and we can help you sort through your coverage options to find the right auto policy for you.
Current Progressive customers
Log in to your policy or call 1-866-749-7436 to select the coverages you want to add to your auto insurance.
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