Utah Car Insurance Guide

Utah's auto insurance laws are different from those of most states in two ways. First, Utah is a no-fault state, which means your insurer must pay your injury claims after a collision regardless of whether you were at fault. Secondly, because Utah is a no-fault state, drivers are required to purchase personal injury protection (PIP) or medical payments coverage in order to comply with state insurance laws. Read on to learn more about Utah's insurance policies and how they impact your auto insurance decisions.

Auto Insurance Laws

Utah law requires drivers to carry liability car insurance coverage and personal injury protection (PIP). Utah's current liability requirements are 25/65/15. This translates into $25,000 of bodily injury protection for one person per accident, $65,000 of bodily injury coverage for two or more people per accident, and $15,000 of property damage coverage per accident. Keep in mind that these are only minimums; the insurance industry recommends that most drivers carry at least $100,000 of liability coverage per person and $300,000 per accident. The law also requires drivers to purchase a minimum of $3,000 of PIP, or medical payments coverage. PIP coverage will pay for the cost of your and your passengers' injuries following an accident even if you were not at fault.

What No-Fault Means for You

No-fault states like Utah establish laws that call for the payment of first-party, no-fault benefits and restrict drivers' right to sue. These laws are also known as limited-tort options. First-party benefit coverage is another name for personal injury protection. With a no-fault structure, drivers can only sue in the event their collision-related medical expenses exceed a certain monetary threshold. Otherwise, the driver must submit a claim to his/her insurer for payment instead of pursuing litigation.

Optional Coverages

Depending on the value of your vehicle and your financial situation, you may also want to consider collision, comprehensive, and uninsured motorist coverage. Although these coverages are not required by Utah law, it is risky for most drivers to go without them. Collision will help you pay to get your car replaced or back in working order after an accident. Comprehensive pays for any damage to your vehicle that was not associated with a collision. Lastly, uninsured motorist coverage pays for your injuries if you are involved in a collision with a driver who is either uninsured or underinsured.

Researching Insurers

The State of Utah Insurance Department maintains a website with a wealth of valuable information on car insurers that are licensed to do business in the state. For example, in the auto insurance online comparison tables provided on the site, you will find average Utah premiums for six-month policies for several different demographics. The tables also report the premiums each insurer earned in Utah for the year as well as the number of complaints filed against the insurer for every $100,000 of premiums earned.