is illegal. To avoid penalties and comply with Louisiana car insurance laws, you’ll need to have liability coverage limits of at least 15/30/25—$15,000 of bodily injury liability per person, $30,000 of bodily injury liability per accident, and $25,000 of property damage liability per accident.

Louisiana law states that all drivers must carry liability insurance meeting the state limits of 15/30/25.
The average cost of minimum liability insurance in Louisiana is $151 a month, or $1,810 per year.
It’s recommended to increase your insurance limits to at least 50/100/50.
Driving without insurance is illegal and can result in fines, vehicle impoundment, registration revocation, and license plate confiscation.

Minimum car insurance requirements in Louisiana: Liability

Driving without proper automobile insurance in Louisiana is illegal and can lead to harsh penalties. To avoid potential fines, license suspension, and motor vehicle impoundment, you must purchase auto insurance that meets Louisiana’s car insurance laws. That means carrying liability insurance with limits of at least 15/30/25, which provides the following coverage:

$15,000 of

bodily injury liability insurance

per person

$30,000 of bodily injury liability insurance per accident

$25,000 of

property damage liability insurance

per accident

Remember that while these limits fulfill Louisiana's minimum car insurance requirements, minimum liability coverage rarely provides enough protection during an actual collision. If you’re involved in an at-fault accident,

liability insurance

only covers third-party medical bills and property damage—it doesn’t cover any of your costs. If you’re at fault and the other driver’s costs exceed your auto insurance policy’s limits, the remaining costs are your responsibility.

Here’s a summary of the car insurance requirements in Louisiana.

Louisiana minimum auto insurance requirements

Type of car insurance coverage	Minimum insurance limit
Bodily injury liability (per person)	$15,000
Bodily injury liability (per accident)	$30,000
Property damage liability (per accident)	$25,000

Remember, these limits are only what is legally required in the state of Louisiana. If you want more protection on the road, you can increase these limits and/or add additional coverages.

Note: If you lease or finance a vehicle, your bank or lender may require you to purchase physical damage coverage—comprehensive and collision insurance—on top of liability insurance. Your leasing company will also likely require you to carry higher liability limits of at last $100,000 bodily injury liability per person, $300,000 bodily injury liability per accident, and $50,000 property damage per accident.

Key Takeaway Drivers in Louisiana are required to carry minimum coverage liability insurance with limits of at least 15/30/25.

Understanding Louisiana’s minimum insurance coverage requirements

Liability insurance is a

type of car insurance

required in most states. Liability insurance protects you against legal claims resulting from physical injuries and/or damage to other individuals or property if you are at fault in a car accident. But remember, liability insurance only covers third-party bodily injuries and property damage up to your policy’s limits—it doesn’t cover any of your injuries or property damage.

There are two types of liability insurance:

Bodily injury liability

helps cover the cost of injuries and lost wages for the other party if you are at fault in an accident.

Property damage liability

helps cover the cost of property damage for any other parties involved in an accident where you are at fault in an accident.

How much does Louisiana state minimum coverage cost?

The average monthly cost for minimum liability insurance in Louisiana is around $151, or $1,810 annually. For full coverage auto insurance in Louisiana, you can expect to pay around $278 per month or $3,340 per year.

Remember: Auto insurance companies in Louisiana use several rating factors when

calculating car insurance premiums

, some of which include age, driving experience, coverage needs, vehicle make and model, zip code, and more. Because driving profiles vary, insurance rates will also vary between drivers and insurance companies. You also have to factor in that Louisiana has one of the highest rates of uninsured drivers in the nation, which will increase the price of coverage. If you want to reduce your monthly car insurance payments, consider taking a

defensive driving course

qualifying for discounts

, or increasing your

insurance deductible

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Do you need more coverage than Louisiana’s required insurance minimum?

In most cases, yes.

Louisiana’s state-mandated insurance limits are lower than most states, so they likely don’t offer enough protection if you’re involved in an accident. If you are at fault for a car crash and the other parties’ injuries or property damages exceed the limits of your policy, you are responsible for paying the remaining costs out-of-pocket. As an

at-fault state

, at-fault drivers in Louisiana can also be sued for additional expenses that their insurance policy won’t cover.

That’s why we recommend increasing your car insurance limits—even though you’ll see a slight increase in your annual rate, you’ll have more protection and peace of mind behind the wheel.

Here’s what it might look like if you’re in an accident with minimal coverage…

Liability insurance covers third-party medical bills and property damage costs if you’re at fault in a car accident. According to data published by the Insurance Information Institute (III), the average bodily injury liability claim in 2021 was $22,734; the average property damage claim was $5,314.

If you only purchase minimum coverage insurance in Louisiana, your bodily injury liability coverage of $15,000 won’t cover the entire claim amount. That means you will be responsible for paying the remaining $7,734 out of your pocket. As for property damage, the state-set limit of $25,000 would cover the claim. However, if you were at fault for a more serious accident with double or triple injuries or property damage, it would be a significant expense out of your pocket.

What about your expenses? As for you, basic liability doesn’t cover your costs—it only covers third-party injuries and damage. Without a policy that includes coverage for your physical damages (i.e., collision and/or comprehensive insurance) or medical bills (i.e., MedPay), you are responsible for paying your expenses. According to the same III information, the average collision insurance claim in 2021 was $5,010—a hefty out-of-pocket expense without investing in a

full-coverage car insurance

policy.

Keep in mind that the amounts mentioned above are averages—costs can be more or less depending on the severity of the accident.

Key Takeaway The state-mandated insurance minimums in Louisiana are a good place to start, but increasing your insurance limits is recommended for more financial protection.

Our recommendation

Increase your bodily injury liability limits to at least $50,000 per person and $100,000 per accident

Increase property damage liability limits to at least $50,000

Purchase comprehensive and collision coverage to pay for the total cost of your vehicle if it were to be totaled

Additional coverage options

Liability insurance is the only required insurance in Louisiana, but you can still add extra protection to your policy. If you’re looking for more security on the road, several add-on coverages can offer peace of mind.

Here are some optional coverages to consider:

Collision insurance

: Covers the cost of damage to your vehicle due to a collision with another vehicle or stationary object.

Comprehensive insurance

: This helps cover the cost of non-collision-related damage to your vehicle resulting from theft, vandalism, floods, hail, and more. Comprehensive coverage will cover most things collision insurance doesn’t.

Personal injury protection (PIP)

: Covers medical expenses, rehabilitation costs, lost wages, and funeral expenses after an accident, regardless of who’s at fault. PIP may overlap with health insurance.

Medical payments (MedPay):

MedPay covers medical expenses for you and your passengers if you’re involved in a car accident. It’s similar to PIP, but its coverage is

more limited and costs less

Uninsured motorist coverage

: If you’re involved in an accident with a driver who doesn’t have insurance, this coverage pays for your medical bills.

Gap insurance:

If you lease or finance a new vehicle and it’s totaled in a crash, gap insurance covers the difference between how much your car is worth at the time of the incident (the

actual cash value

) and how much you still owe on your

car loan

—but it’s better to

purchase it from your insurance company

, not through your dealership.

Roadside assistance coverage: Also called

towing and labor coverage

, roadside assistance helps cover the costs of basic roadside assistance services, like towing, battery changes, or gas delivery.

Rental car reimbursement

: If your car is in the shop being repaired after an approved claim, this coverage will cover the cost of a rental vehicle while you are unable to drive your car.

What is the penalty for not having auto insurance coverage in Louisiana?

Driving without insurance is illegal in every state, but the penalties vary. If you’re behind the wheel without valid

proof of insurance

in The Bayou State, you could be up against fines, driver’s license suspension, vehicle impoundment, and registration revocation.

Penalties for driving without insurance in Louisiana

Here’s a breakdown of the penalties for driving without insurance in Louisiana, regardless of whether it’s your first, second, or third offense:

Fines between $500 and $1,000

License plates and registration suspension

Vehicle impoundment

Related towing, storing, or wreckage costs for impoundment

A bar on claiming losses in collision accidents

Also, remember that if your

car insurance lapses

or is canceled, you’ll need to secure a new policy immediately. If you don’t, you may still be subjected to a fee from the state, even if you aren’t caught driving without insurance.

2-30 day lapse: $125 fine

31-90 day lapse: $275 fine

91+ day lapse: $525 fine

Louisiana’s No Pay, No Play law

Perhaps the biggest consequence of driving without insurance in Louisiana is called the “no pay, no play” law. If you’re involved in a collision, regardless of whether you’re the victim, you are not eligible for compensation by the other driver’s insurance provider if you were driving uninsured, not until the damages reach a threshold.

The first $25,000 in property damage and $15,000 in personal injuries you suffered from the accident will be paid out of your pocket.

MORE:

Comparative negligence in Louisiana

FAQ

What are the requirements for car insurance in Louisiana?

In Louisiana, all drivers must have liability insurance that meets the 15/30/25 liability limits. Those limits cover up to $15,000 in injuries to another individual, $30,000 in bodily injuries for an entire accident, and $25,000 in property damage.

How long after buying a car do you have to get insurance in Louisiana?

In Louisiana, you’re required to have insurance to drive, so you’ll need to get an insurance policy right away. If you already have an existing insurance policy, your insurer may grant you up to a 30-day grace period to add your new car to the policy—but you may not be able to register your car until it’s added to your insurance.

What is the penalty for driving without insurance in Louisiana?

Driving without insurance in Louisiana is illegal, and if caught, you could face up to $1,000 in fines, your vehicle impounded, revocation of your registration, and the confiscation of your license plate.

Why is car insurance so expensive in Louisiana?

Louisiana auto insurance rates vary based on the driver and the insurance company. However, Louisiana has a high rate of accidents and insurance claims, a legal system with high litigation costs, and high rates of theft and insurance fraud, all of which can contribute to high car insurance costs.