Arizona Auto Insurance Requirements
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Arizona drivers must have certain types of car insurance with specific coverage limits to drive legally. Not meeting Arizona’s auto insurance requirements may lead to penalties such as fines and license suspensions.
Keep reading to learn more about what types of car insurance are required in Arizona and how they help protect you and your vehicle.
Understanding Arizona Auto Insurance Requirements
Arizona’s minimum auto insurance requirements are meant to protect all drivers and passengers using public roadways. Arizona is a fault-based state, which means you take financial responsibility for any injuries and damages if you cause an accident. The state also follows a tort system, so others can sue you if you are at fault for their injuries or property damage.
Meeting the auto insurance requirements in Arizona means that you won’t be left to pay for all expenses out of pocket after an accident. Instead, you and other parties can file claims with your insurance company to get coverage.
Minimum Coverage Requirements in Arizona
Arizona drivers are required to carry liability insurance.
Liability insurance is split into two separate coverage types: bodily injury liability and property damage liability. Bodily injury liability will pay for others’ medical expenses if you cause an accident, while property damage coverage will pay for others’ damage-related expenses.
Review the insurance requirements of your state:
Legal Limits for Liability Coverage in Arizona
The minimum requirements for auto insurance in Arizona include:
- $25,000 bodily injury liability for one person in an accident
- $50,000 bodily injury liability for two or more people in an accident
- $15,000 property damage liability per accident
Optional Liability Coverage to Consider
While liability insurance is the only required coverage type in Arizona, other types of insurance can help protect you and your vehicle. In addition, some lenders require higher levels of coverage if you have a lease or loan.
Uninsured/underinsured motorist coverage helps pay for your own expenses if an at-fault driver doesn’t have enough coverage to pay for them. Uninsured motorist insurance would cover instances where you are the victim of a hit-and-run or if the at-fault driver doesn’t carry insurance. Underinsured motorist insurance is beneficial when your expenses exceed the at-fault driver’s coverage limits.
Collision coverage pays for damages to your vehicle after an accident, regardless of who is at fault. It typically provides coverage up to the actual cash value (ACV) of your vehicle.
Comprehensive coverage will pay for damages to your vehicle after a non-collision incident. This usually includes hitting an animal, theft or vandalism, flood, fire, falling objects, and glass damage.
Penalties for Non-Compliance
You can face various consequences if you are caught driving without proper Arizona car insurance.
Your first violation will result in a fine of at least $500 and suspension of your license for three months. You may be able to receive restricted driving privileges during this period if you can provide proof of insurance.
If you violate Arizona insurance law a second time within 36 months, your fine will be at least $750. Your driver’s license, vehicle registration, and license plates will be suspended for six months.
Three or more violations within 36 months will result in a fine of at least $1,000. Your driver’s license, vehicle registration, and license plates will be suspended for one year. When you are ready to reinstate your driving privileges, you will need to present proof of insurance that meets the state of Arizona auto insurance requirements.
Tips for Finding Affordable Auto Insurance
It takes a little extra work to find affordable car insurance, but it is possible. If you’re prioritizing low premiums, one of the best ways to make this happen is to opt for minimum coverage. Unless you have a loan or own a high-value vehicle, you might choose to skip collision and comprehensive coverage, which bump up your rates considerably.
If you do need collision or comprehensive coverage, you could increase your deductible to lower your premiums. The more you pay out of pocket for claims, the less you will pay for your auto policy.
You can also check which discounts are available. Many car insurance companies will provide discounts for students, members of the military, and people with clean driving records. You might also qualify if you go paperless, enroll in autopay, or insure more than one vehicle.
Factors Influencing Insurance Rates in Arizona
Car insurance rates depend on a variety of personal and external factors. This includes:
- Age, gender, and marital status
- Location
- Credit history
- Driving record and claims history
- Car’s year, make, and model
- Annual mileage and daily driving habits
While some of these are out of your control, you can improve others to get better coverage and rates. To get cheap car insurance in Arizona, try making on-time debt payments, tracking your driving habits to improve, or buying a used car with good safety features.
Ready to Save? Compare Auto Insurance Quotes Today!
Your car insurance policy must meet Arizona's minimum coverage requirements. This means you need to purchase at least the minimum coverage limits for liability insurance. However, insurance options vary a lot by ZIP code and driver profile. The best way to find a policy that works for you is to compare custom options with EverQuote’s free online quote comparison tool.