Car Insurance in North Carolina
North Carolina has some of the higher minimum liability limits in the country: 50/100/50. The state also requires uninsured and underinsured motorist coverage at matching 50/100 limits, so you’re protected if an at-fault driver is uninsured.
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North Carolina at a glance
Data as of 2023Average cost
$925/yr
≈ $77/mo
vs U.S. average
-28%
below the national avg of $1,282/yr
Required minimums
50/100/50
BI / BI per accident / PD ($K)
Source: NAIC (2023). Annual average expenditure per insured vehicle.
North Carolina has some of the higher minimum liability limits in the country: 50/100/50. The state also requires uninsured and underinsured motorist coverage at matching 50/100 limits, so you’re protected if an at-fault driver is uninsured.
As an at-fault state, the driver who causes a crash is responsible for the damages. Comparing quotes is the best way to meet North Carolina’s higher requirements without overpaying.
North Carolina minimum car insurance requirements
North Carolina requires $50,000 of bodily injury liability per person, $100,000 per accident, and $50,000 in property damage liability, plus uninsured/underinsured motorist coverage at 50/100. These limits are higher than many states, which makes shopping around especially worthwhile.
North Carolina raised its minimums to 50/100/50 (up from 30/60/25). Uninsured/underinsured motorist coverage is required at matching 50/100 limits.
How much does car insurance cost in North Carolina?
The average driver in North Carolina pays $925 per year for auto insurance — that's 28% below the U.S. national average of $1,282/yr. Lower-than-average rates often reflect lower traffic density, fewer claims per insured vehicle, or less stringent coverage requirements.
North Carolina vs the national average
28% below the national average of $1,282/yr.
Source: NAIC (2023). Annual average expenditure per insured vehicle.
How North Carolina premiums have changed since 2019
Auto insurance costs in North Carolina have risen 23% over the past five years. The 2022–2023 jump mirrors a national trend: rising repair costs (vehicle complexity and parts inflation), more frequent severe accidents, and higher litigation costs pushed premiums up faster than overall inflation.
5-year trend: North Carolina vs national average
North Carolina is up 23% from $754 in 2019 to $925 in 2023.
Source: NAIC Auto Insurance Database Report (2022/2023), Table 4 — Average Expenditure.
Types of car insurance coverage
A North Carolina policy is built from a few core coverages. Liability is required; the rest are optional but often worth it.
| Coverage | What it covers | Required? |
|---|---|---|
| Liability | Injuries and property damage you cause to others | Required (state minimum) |
| Collision | Repairs to your own car after a crash | Optional* |
| Comprehensive | Theft, fire, weather, vandalism, animal strikes | Optional* |
| Uninsured motorist | Your costs if the at-fault driver has no insurance | Varies by state |
*Collision and comprehensive are usually required by your lender if you lease or finance your vehicle.
Driving without car insurance in North Carolina
Driving uninsured in North Carolina can be costly. Penalties typically include fines, suspension of your license and registration, and reinstatement fees. If you cause an accident while uninsured, you can also be held personally responsible for the other party's injuries and damage. You may also be required to file an SR-22 certificate to reinstate your license.
How to find cheaper car insurance in North Carolina
Rates for the same driver can vary widely between insurers in North Carolina, so comparing several quotes is the most effective way to save. A few other ways to lower your premium:
- Raise your deductible if you can cover it in a claim
- Ask about every discount you qualify for
- Keep a clean driving record and good credit (where the state allows it as a rating factor)
- Reconsider collision and comprehensive on an older vehicle
For more, see our guides on how to lower your premium and what affects your rate.
Coverage requirements last verified May 28, 2026. Always confirm current minimums with your state’s Department of Insurance.
North Carolina car insurance FAQs
Common questions about auto insurance in North Carolina
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