North Dakota car insurance requirements

On this page

North Dakota requires four types of auto coverage, which is more than most states in this group: liability of 25/50/25, uninsured motorist coverage of $25,000 per person and $50,000 per accident, underinsured motorist coverage equal to the UM amount, and basic no-fault, also called personal injury protection, of $30,000 per person.

Basic no-fault pays economic losses such as medical expenses and lost work regardless of who caused the crash, which shapes how injury claims work in the state. For fault-based claims, North Dakota uses modified comparative fault, so you cannot recover if your fault equals or exceeds the others' combined fault. Insurance and credit are also tied together under state rules: insurers must tell you at application whether they use credit, cannot use it as the only reason to deny, cancel or non-renew, and must notify you within three days of checking it. A conviction for driving without insurance can lead to license revocation and three years of required proof of insurance.

North Dakota minimum liability limits

To register and drive a car in North Dakota you need at least this much liability coverage:

• $25,000 for injuries to one person in an accident you cause.
• $50,000 in total for injuries to everyone in that accident.
• $25,000 for damage to other people's property, such as their car.

Other required and offered coverage

Besides liability, North Dakota requires:

• Basic no-fault (PIP): $30,000 per person
• Uninsured motorist (UM): $25,000 per person / $50,000 per accident
• Underinsured motorist (UIM): equal to the UM amount

Learn more about uninsured motorist coverage and personal injury protection.

Is North Dakota a no-fault state?

North Dakota is a no-fault state. After most crashes, your own personal injury protection (PIP) pays your medical bills and some lost income first, whoever caused the accident. You can usually step outside the no-fault system and claim against the other driver only if injuries pass a legal threshold.

North Dakota has a no-fault law with basic benefits and uses modified comparative fault: you cannot recover if your fault equals or exceeds the combined fault of the other parties (N.D.C.C. 32-03.2-02). The insurance department notes an exception for certain property damage claims of $5,000 or less.

Read more: at-fault vs. no-fault states explained.

Can insurers use your credit in North Dakota?

Status: Restricted. Insurers must disclose whether they use credit, cannot use it as the sole basis to deny, cancel or non-renew, and face limits on using recent multiple inquiries and medical-code collections. If credit adversely affects you, the insurer must name the bureau and up to four factors.

See how credit affects car insurance for the bigger picture.

Penalties for driving uninsured in North Dakota

Driving without liability insurance can lead to license revocation. The North Dakota Insurance Department refers these cases to the Department of Transportation and does not list fines on its auto page.

After a conviction for driving without liability insurance, you must show proof of insurance for three years, typically via a Certificate of Motor Vehicle Liability Insurance form. After certain violations you may need one year of future financial responsibility, shown by insurance, a cash deposit or a $25,000 cash bond.

If you are ordered to file proof of insurance, see what SR-22 insurance is.

Tips for North Dakota drivers

• Check that your policy shows all four required coverages. North Dakota requires liability, UM, UIM and $30,000 in basic no-fault.
• Ask how your UM and UIM limits match. The UIM amount must equal your UM amount, so a mismatch may signal an error.
• Ask your insurer at application whether it uses credit. North Dakota insurers must disclose this and must tell you within three days when they check your credit.
• Understand the property damage exception. The insurance department notes a special rule for certain property damage claims of $5,000 or less.
• If you are convicted of driving without insurance, plan for three years of proof of insurance. That requirement is typically met with a Certificate of Motor Vehicle Liability Insurance.

When you shop, compare quotes from several insurers using the same limits and deductibles, so the prices are like-for-like.

Official resources

• Insurance regulator: North Dakota Insurance Department
• Motor vehicle agency: North Dakota Department of Transportation

Your state insurance department can answer questions about your rights and handle complaints about insurers.

Frequently asked questions

What car insurance is required in North Dakota?

North Dakota requires bodily injury liability of $25,000 per person and $50,000 per accident, $25,000 for property damage, uninsured motorist coverage of $25,000/$50,000, underinsured motorist coverage equal to UM, and basic no-fault (PIP) of $30,000 per person. The state insurance department lists all of these as required coverages.

What does basic no-fault cover in North Dakota?

Basic no-fault, or PIP, pays up to $30,000 per person for economic losses such as medical expenses and work loss regardless of fault, according to the North Dakota Insurance Department. It is separate from liability coverage, which pays other people's injuries and property damage when you are at fault, so both appear on a compliant policy.

What happens if I'm caught driving without insurance in North Dakota?

Driving without liability insurance can lead to license revocation, handled by the Department of Transportation. After a conviction you must show proof of insurance for three years, usually with a Certificate of Motor Vehicle Liability Insurance. You may also need one year of future financial responsibility, such as insurance or a $25,000 cash bond.

Can North Dakota insurers use my credit?

Yes, with limits. Insurers must disclose at application whether they use credit, cannot use it as the sole basis to deny, cancel or non-renew a policy, and must notify you within three days after checking. If credit hurts you, the insurer must name the credit bureau and provide up to four specific factors.

Sources

• North Dakota Insurance Department – Auto insurance
• Insurance Information Institute – Background on no-fault auto insurance
• Insurance Information Institute – Background on compulsory auto insurance
• Matthiesen, Wickert & Lehrer – Contributory negligence/comparative fault laws in all 50 states