Each of the 50 states has different requirements when it comes to auto insurance. In some, motorists can't register a car without showing proof they have liability insurance, while other states use an "honor" system that doesn't ask for proof until drivers have accidents or tickets on their records.

Only four states do not require motorists to carry liability coverage, but those that do demand drivers purchase at least the state's minimum. In other words, you can't walk into your insurance agent's office and buy only $2,000 worth of liability coverage. If you're going to buy it, you must purchase at least the minimum amount required.

First number: bodily injury liability maximum for one person injured in an accident
Second number: bodily injury liability maximum for all injuries in one accident
Third number: property damage liability maximum for one accident

So, looking at the table, you find that in Alabama, the minimum liability limits are $20,000 for injury liability for one person in an accident, $40,000 for all injuries in an accident, and $10,000 for property damage in an accident. Use the table to find the limits in your state.

What is no-fault?

No-fault laws also say you can't sue another party unless the damages and medical bills are above a certain amount, which varies by state.

State	Liability required? Liability limits (in thousands of dollars)	PIP required?	No-fault state?	Uninsured motorist coverage required?
Alabama	Yes, 20/40/10	No	No	No
Alaska	Yes, 50/100/25	No	No	No
Arizona	Yes, 15/30/10	No	No	No
Arkansas	Yes, 25/50/25	No	No	No
California1	Yes, 15/30/5	No	No	No
Colorado	Yes, 25/50/15	Yes	Yes	No
Connecticut	Yes, 20/40/10	No	No	No
Delaware	Yes, 15/30/5	Yes	Yes	No
D.C.	Yes, 25/50/10	No	No	No
Florida2	Yes, 10/20/10	Yes	Yes	No
Georgia	Yes, 15/30/10	No	No	No
Hawaii	Yes, 20/40/10	Yes	Yes	No
Idaho	Yes, 25/50/15	No	No	No
Illinois	Yes, 20/40/15	No	No	No
Indiana	Yes, 25/50/10	No	No	No
Iowa	Yes, 20/40/15	No	No	No
Kansas	Yes, 25/50/10	Yes	Yes	Yes
Kentucky	Yes, 25/50/10	Yes	Yes	No
Louisiana	Yes, 10/20/10	No	No	No
Maine	Yes, 50/100/25	No	No	Yes
Maryland3	Yes, 20/40/10	Yes	Yes	Yes
Massachusetts	Yes, 20/40/5	Yes	Yes	Yes
Michigan	Yes, 20/40/10	Yes	Yes	No
Minnesota	Yes, 30/60/10	Yes	Yes	Yes
Mississippi4	No, 10/20/5	No	No	No
Missouri	Yes, 25/50/10	No	No	Yes
Montana	Yes, 25/50/10	No	No	No
Nebraska	Yes, 25/50/25	No	No	No
Nevada	Yes, 15/30/10	No	No	No
New Hampshire	No, 25/50/25	No	No	No
New Jersey5	Yes, 15/30/5	Yes	Yes	Yes
New Mexico	Yes, 25/50/10	No	No	No
New York6	Yes, 25/50/10	Yes	Yes	Yes
North Carolina	Yes, 25/50/15	No	No	No
North Dakota	Yes, 25/50/25	Yes	Yes	Yes
Ohio	Yes, 12.5/25/7.5	No	No	No
Oklahoma	Yes, 10/20/10	No	No	No
Oregon	Yes, 25/50/10	No	Yes	Yes
Pennsylvania7	Yes, 15/30/5	Yes	Yes	No
Rhode Island	Yes, 25/50/25	No	No	Yes
South Carolina	Yes, 15/30/10	No	No	Yes
South Dakota	Yes, 25/50/25	No	No	Yes
Tennessee	No, 25/50/10	No	No	No
Texas	Yes, 20/40/15	No	No	No
Utah	Yes, 25/50/15	Yes	Yes	No
Vermont	Yes, 25/50/10	No	No	Yes
Virginia	Yes, 25/50/20	No	No	Yes
Washington	Yes, 25/50/10	No	No	No
West Virginia	Yes, 20/40/10	No	No	Yes
Wisconsin	No, 25/50/10	No	No	Yes
Wyoming	Yes, 25/50/20	No	No	No

¹ Low-cost policy limits for Los Angeles and San Francisco for low-income drivers in the California Automobile Assigned Risk Plan are 10/20/3, effective Jan. 1, 2000, to Jan. 1, 2004
² Drivers can choose a standard or basic policy. Basic policy limits are 10/10/5; only property-damage liability is mandatory
³ May be waived for the policyholder but is compulsory for passengers
⁴ Minimum liability law goes into effect Jan. 1, 2001
⁵ Only property-damage liability is mandatory
⁶ Liability rises to 50/100 if injury results in death
⁷ Medical— First party (policyholder) medical expenses.