Virginia’s car insurance laws have seen several updates recently, including an increase in minimum auto insurance limits for liability in 2022 and the repeal of the uninsured motorist fee in July 2024.
Starting January 1, 2025, the required minimum auto insurance limits for liability coverage will increase again. These changes aim to provide drivers with better financial protection in case of accidents. Let’s break down what’s changing and explore what terms like Bodily Injury and Property Damage mean for you.
Understanding Liability Coverage
Liability insurance protects you financially if you cause an accident. It’s broken into two main parts:
Bodily Injury Liability
- Per Person: Covers the medical expenses, lost wages, and pain and suffering for one person injured in an accident you cause.
- Per Accident: The total amount your policy will pay for injuries to all people in the accident (if more than one person is injured).
Property Damage Liability
- Covers damage to another person’s property (e.g., their car, mailbox, fence) caused by an accident you’re responsible for.
Virginia’s Current vs. New Minimum Liability Limits
| Coverage Type | Current Minimum | New Minimum (2025) |
| Bodily Injury (Per Person) | $30,000 | $50,000 |
| Bodily Injury (Per Accident) | $60,000 | $100,000 |
| Property Damage (Per Accident) | $20,000 | $25,000 |
This means, starting in 2025, if you’re at fault in an accident, your insurance will pay up to:
- $50,000 for injuries to any one person.
- $100,000 total for all injuries in the accident.
- $25,000 for property damage to others.
Why the Changes Are Important
1. Better Financial Protection
The increase in liability limits reflects the rising costs of medical care, vehicle repairs, and property damage. Accidents often exceed the current minimums, leaving at-fault drivers financially exposed.
2. Avoiding Out-of-Pocket Costs
Without sufficient coverage, you could be personally responsible for damages that exceed your policy’s limits. For example, if you cause $40,000 in property damage and only have the current $20,000 minimum, you’d owe the remaining $20,000 out of pocket.
The Bottom Line
Virginia’s updated minimum liability limits are designed to offer better protection for drivers and accident victims alike. While it may mean slight premium increases for some, the benefits far outweigh the risks of being underinsured.
Need help understanding these changes or updating your policy? Contact us today, and we’ll guide you through your options to ensure you’re properly covered for the road ahead.
Echard Insurance Agency, Inc.
Phone: 540-289-5119
Email: echardins@comcast.net
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Disclaimer: The information provided in this blog is intended for general informational purposes only. It is not a substitute for professional advice or diagnosis. Always seek the advice of a qualified professional regarding any questions you may have about your vehicle, its maintenance, or your insurance coverage. The authors do not assume any responsibility or liability for any damages or losses incurred as a result of the use of information presented in this blog. The reader acknowledges that their use of this information is at their own risk.
