Montana Car Insurance

When discussing auto insurance in Montana, the Montana Commissioner of Securities and Insurance stresses three reasons drivers need auto insurance: “To protect assets, to satisfy your lender, and to follow state laws.” Montana has established a law requiring drivers to have a certain amount of liability insurance, which will cover the other party’s expenses resulting from an accident that you were at fault for. It’s important to know that liability insurance will not cover your own expenses. For this reason, the commissioner recommends that you consider purchasing additional coverage, such as collision, comprehensive, and uninsured/underinsured, though none of these are required by law.

Required Coverages in Montana:

  • Bodily Injury Liability Per Person: $25,000
  • Bodily Injury Liability Per Accident: $50,000
  • Property Damage Liability: $10,000

There are strict punishments for drivers caught without car insurance in Montana. The first offense will get you a minimum fine of $250 and up to 10 days in jail. The second offense is a minimum fine of $350, up to 10 days in jail, and you must surrender your license plates and vehicle registration for up to 90 days. The third offense is a minimum fine of $500, up to six months in jail, and surrendering your registration and license plates for up to 180 days. A fourth offense results in your driver’s license being suspended until you can show proof of insurance.

Determining Your Rate in Montana

When you compare car insurance quotes online in Montana, you will get a wide range of prices from multiple insurance providers. However, your rate depends on more than just what company you choose. Insurance companies in Montana will use your age, sex, marital status, credit history, driving record, vehicle type and use, and where you live to determine your rate. Certain factors can make you a higher risk to insure, thus raising your rates. Factors such as being single, male, younger than 25, driver of a high-performance vehicle, and living in an area with a high number of traffic accidents are all considered to be high-risk.

The Insurance Information Institute shows that the average cost of liability insurance in Montana is $394, which is lower than the national average of $474. To give you an idea of what to expect when shopping for car insurance in Montana, the Montana Commissioner of Securities and Insurance provides a rate comparison guide, which allows you to see what your rates may be from several insurance companies in the major cities in the state based on different scenarios. Keep in mind that this is only meant to give you an idea of what you may have to pay because your actual rates will be different.