CarInsurance.com Insights
- Virginia updated its minimum auto liability requirements, meaning drivers now need higher coverage levels to meet state law.
- New law changes affect how insurers calculate rates, which can result in adjustments to premiums when policies renew.
- Drivers with older, lower-limit policies could see increases if their current coverage doesn’t meet the updated legal minimums.
- Higher minimums aim to align coverage with real accident costs, helping ensure injured parties are better protected after crashes.
- Reviewing your policy before renewal is more important, helping Virginia drivers avoid surprises and compare competitive pricing under the new rules.
The state of Virginia changed its car insurance laws in both 2024 and 2025. Paramount among them is a new law requiring drivers in Virginia to purchase and carry proof of insurance. Failure to submit liability insurance information within 30 days will result in a license suspension.
As a driver in Virginia, learn about the changes to ensure you comply with the new laws.
What are the new auto insurance laws in Virginia?
Virginia’s new auto insurance requirements are outlined in Virginia Code § 38.2-2206. Below, we take a closer look at the significant changes for 2024 and 2025.
All Virginia drivers are now required to carry car insurance
Until recently, Virginia was one of two states that allow drivers to register a car without purchasing car insurance. Instead of buying car insurance, drivers could pay a fee when registering their vehicle in Virginia. The fees accumulated in the Uninsured Motorists Fund reduced the cost of uninsured motorist coverage in the state.
However, this law changed on July 1, 2024. The new law stipulates that all drivers must purchase a minimum amount of auto insurance. Drivers who have avoided paying for a minimum liability policy until now will no longer have that option.
Minimum coverage limits increased in 2025
Virginia’s minimum liability insurance requirements are also changing. As of January 1, 2025, Virginia drivers must carry a minimum of 50/100/25 liability coverage. This breaks down into $50,000 in bodily injury coverage per person, $100,000 in bodily injury coverage per accident, and $25,000 in property damage liability coverage.
Farm use vehicle changes
If you have a farm-use vehicle, you can no longer purchase an unofficial red and white tag. Instead, you must apply a farm-use vehicle tag from the DMV.
“As farm vehicles are key to agricultural productivity, it is important that Virginia farmers can continue to use them in their operations while preventing farm use tags from being used on other vehicles inappropriately,” Joseph Guthrie, Virginia Department of Agriculture and Consumer Services commissioner says in a recent press release.
Enforcement of the new farm use tags went into effect July 1, 2024. Drivers with farm-use tags must apply for new tags as soon as possible to remain legally compliant.
Auto insurance law changes in Virginia
With these latest changes, car insurance requirements in Virginia look similar to those in other states. Drivers in all states except New Hampshire must carry a minimum amount of liability coverage without the option to pay for an uninsured vehicle registration.
Drivers in Virginia will see several changes to their car insurance requirements in the coming months. Below is a timeline of some of those changes.
- Effective July 1, 2024: Drivers must carry a minimum amount of car insurance, without the option to pay a fee to register an uninsured vehicle.
- Effective July 1, 2024: Drivers with farm-use vehicles must have new tags that reflect a DMV-approved vehicle for farm use.
- Effective January 1, 2025: The minimum required liability coverage for Virginia drivers will be increased to $50,000 in bodily injury coverage per person, $100,000 in bodily injury coverage per accident, and $25,000 in property damage liability coverage.
How to be compliant with auto insurance law changes in Virginia
If you’re a driver in Virginia, ensure you take the following steps to remain compliant with legal changes in the state:
- Drivers who are only paying the uninsured motorist fee must purchase car insurance. “If you previously paid the UMV fee, you will need to obtain an insurance policy that meets or exceeds Virginia’s liability limits,” says Jillian Cowherd, the public relations and media liaison of the Virginia DMV.
- Drivers with farm-use vehicles are required to have an updated tag.
- All Virginia drivers must review their policies. If you are carrying less than the new minimum coverage amounts, you’ll need to get a more robust policy by January 1, 2025, to stay compliant.
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How to find cheap car insurance in Virginia
Shopping around is the best way to save money on car insurance. Below are some strategies to help you find cheap car insurance in Virginia.
- Shop around. Comparing coverage options across multiple insurers can help you lock in the cheapest rates for your unique situation.
- Raise your deductible. If you have the cash on hand to cover a higher deductible, choosing this option could lower your premiums. Deductibles apply to collision and comprehensive coverage, not liability-only insurance.
- Look for discounts. Most car insurance companies offer a range of discounts to drivers. Make sure to ask about potential discounts before committing to a policy.
In addition to the tips above, John Crist, founder of Prestizia Insurance, says to “maintain a clean driving record as this is a critical factor in determining your rates.”
Frequently Asked Questions: Virginia car insurance
Did Virginia drop the uninsured motorist fee?
Yes. Virginia drivers are required to carry a minimum amount of liability coverage and no longer have the option to pay an uninsured motorist fee instead of purchasing insurance.
What happens if you drive without insurance in Virginia?
If you are caught driving without the required insurance, the first offense comes with a $600 fee. Plus, you’ll face a $145 fee for the reinstatement of your license and registration and be required to file an SR-22 insurance form for three years after the violation.
Resources & Methodology
Sources
- Virginia Law. “ Code 38.2-2206.” Accessed December 2025.
- Virginia Department of Agriculture and Consumer Services “ Press Release.” Accessed December 2025.
- Virginia Department of Motor Vehicles. “ Uninsured Vehicle Penalty.” Accessed December 2025.
Methodology
CarInsurance.com commissioned Quadrant Information Services to get car insurance rates. The rates are based on the sample profiles of 40-year-old male and female drivers carrying full coverage policies with limits of 100/300/100 and $500 collision and comprehensive deductibles. Read the detailed methodology for more information.
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