North Carolina Car Insurance Requirements: The New 50/100/50 Minimums
North Carolina raised its minimums to 50/100/50 in July 2025 and now requires underinsured motorist coverage. What changed, lapse penalties and the FS-1.
Updated October 7, 2026 · 6 min read
Key takeaways
- Since July 1, 2025, North Carolina requires liability limits of at least $50,000 per person, $100,000 per accident and $50,000 for property damage (50/100/50), up from 30/60/25.
- Uninsured and underinsured motorist coverage are both required on personal policies, and underinsured coverage now pays on top of the at-fault driver's insurance.
- When your insurance lapses, NCDMV gives you 30 days to respond to its notice, up from 10 days before October 1, 2026.
- North Carolina uses a contributory negligence rule: if you're even slightly at fault, you may not be able to recover damages.
North Carolina's minimum car insurance
North Carolina raised its minimums for policies issued or renewed after July 1, 2025. Many websites still show the old 30/60/25 limits, which are out of date.
| Coverage | Required minimum |
|---|---|
| Bodily injury liability, per person | $50,000 |
| Bodily injury liability, per accident | $100,000 |
| Property damage liability | $50,000 |
| Uninsured motorist (UM) | Required, matching your liability limits |
| Underinsured motorist (UIM) | Required, matching your UM limits |
North Carolina is an at-fault state with contributory negligence, one of the strictest rules in the country for injured people who share any blame.
What changed for uninsured and underinsured coverage
- UM and UIM are both required on personal policies, generally at the same limit as your highest liability limit, up to $1 million. You can choose different limits, but not below 50/100/50.
- UIM now stacks on top of the other driver's coverage. Before the change, UIM was reduced by what the at-fault driver's insurance paid. Now it isn't, so it can pay more when you're hurt by someone with low limits.
- UM property damage carries a $100 deductible.
Higher required coverage means many North Carolina drivers saw higher premiums. Shopping your policy at renewal is the best way to offset that.
Free, no obligation, about two minutes. Or call: Insured 1-888-773-7558 · Uninsured 1-844-900-2302
How North Carolina checks insurance
Insurers must notify NCDMV when a policy is canceled or lapses. NCDMV then mails the owner a notice. Since October 1, 2026, owners have 30 days to respond, up from 10. Your insurer proves coverage to NCDMV electronically with a Form FS-1. Out-of-state policies aren't accepted for vehicles registered in North Carolina, and you should turn in your plate before canceling insurance.
Penalties for a lapse
- A civil penalty of $50 for a first lapse, $100 for a second within three years and $150 for more.
- A $50 restoration fee.
- Your plate and registration are revoked until you get coverage, or for 30 days if there was a crash during the lapse or you knowingly drove uninsured.
- Driving without required coverage is a Class 3 misdemeanor.
FS-1 instead of an SR-22
North Carolina uses the FS-1 form instead of an SR-22. After certain license revocations, including impaired driving, you must keep proof of insurance on file for at least three years after your license is restored.
Shopping for coverage in North Carolina
Because the minimums are already higher than in most states, the bigger decisions are your deductibles and whether to add collision and comprehensive. Compare the same limits and deductibles across several insurers so the price difference is the only difference.
Frequently asked questions
What is the minimum car insurance in North Carolina now?
Since July 1, 2025, it's 50/100/50, plus required uninsured and underinsured motorist coverage.
Is underinsured motorist coverage required in North Carolina?
Yes. Since July 2025, UIM is required on personal policies at the same limit as your UM coverage.
How long do I have to respond to an NCDMV insurance notice?
Since October 1, 2026, NCDMV gives owners 30 days to respond, up from 10 days.
Sources
How this guide was made: researched and drafted with AI assistance (Wren AI), and checked against the government and industry sources listed above. Wren AI is an AI tool, not a person or a licensed insurance agent.
This guide is general information, not insurance, legal or tax advice. Coverage, rules and prices vary by state, insurer and policy. Confirm details with a licensed agent before you buy. Read our editorial policy.