What Utah’s Increased Auto Liability Limits Mean for Your Premiums

Rates could increase to reflect the higher limits, but most likely won’t significantly affect costs.

Julia Taliesin
Written byJulia Taliesin
Julia Taliesin
Julia TaliesinInsurance Content Writer

Julia Taliesin is an insurance content writer at Insurify. She began her career as a journalist, covering local government and business in Somerville, Mass.

Chris Schafer
Edited byChris Schafer
Chris Schafer
Chris SchaferSenior Editor
  • 15+ years in content creation

  • 7+ years in business and financial services content

Chris is a seasoned writer/editor with past experience across myriad industries, including insurance, SAS, finance, Medicare, logistics, marketing/advertising, and many more.

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John Leach
Reviewed byJohn Leach
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John LeachSenior Insurance Copy Editor
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  • 8+ years editing experience

John leads Insurify’s copy desk, helping ensure the accuracy and readability of Insurify’s content. He’s a licensed agent specializing in home and car insurance topics.

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Published December 18, 2024 at 11:00 AM PST | Reading time: 2 minutes

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Utah’s minimum car insurance requirements are increasing in 2025, and drivers in the state could see auto premium increases as a result. Utah’s mandatory requirements were already relatively close to the liability limits in most other states.

The Utah Legislature last updated the state requirements in 2008. The new limits take effect in January and will impact new and renewing policies.

The higher minimums will likely affect only drivers currently carrying state-minimum coverage, and not drivers who already have higher liability limits on their policies, said Betsy Stella, vice president of carrier management and operations at Insurify.

“Since the state will soon require drivers to carry higher bodily injury and property damage limits to meet state financial responsibility requirements, drivers can expect premiums for those coverages will be higher than they were for the old minimum limits,” she said.

How the limit increases could affect policyholders

Utah’s higher limits will add more liability protection to state-required standard policies. Here are the changes to Utah’s auto liability insurance requirements.

Chase Gardner, data insights manager at Insurify, said the increase will probably affect rates but likely not by too much.

“Utah drivers with state-minimum coverage should see their rates increase by a few percentage points after policies reflect the new, higher liability limits, but it will hopefully have a much smaller effect than recent cost increases,” he said.

Utah’s overall average auto insurance premium is below the national average, according to Insurify’s auto insurance report. But its liability-only average rate is actually a little higher than the national average. Utah drivers pay an average of $183 per month for a full-coverage policy and $107 per month for liability-only, per Insurify data.

The national monthly averages are $204 for full coverage and $104 for liability-only coverage.

“The liability part of a full-coverage policy — which also includes collision and comprehensive coverage — adds up to about 50% of what the whole policy costs, but the liability coverage amount isn’t the only factor there,” Gardner said. “Numerous factors, like accident and crime rates and rising vehicle repair costs, affect what you pay for auto insurance. It’s those factors that are mostly behind the broader rate increases in the last several years.”

What’s next? Cutting costs amid rising minimum limits

Insurify analysis predicted a nationwide average increase of 22% in auto insurance costs in 2024. Costs had already spiked 15% by the middle of the year, according to Insurify’s auto insurance report. Car insurance costs in Utah are rising just a little faster than the nationwide average, and Insurify analysts predict a 24% total increase in 2024 for Utah drivers.

The Insurance Information Institute (Triple-I) has several recommendations for lowering auto insurance costs for drivers feeling financial stress. Its top two pieces of advice are to shop around and to compare multiple car insurance quotes.

Triple-I also recommends drivers bundle insurance policies, consider what discounts they might be eligible for, maintain a good credit history, and raise their deductible — if they can set aside money in case of a claim. The organization also advises policyholders to reach out to their agents about the best ways to cut costs.

Julia Taliesin
Julia TaliesinInsurance Content Writer

Julia Taliesin is an insurance content writer at Insurify. She began her career as a journalist, covering local government and business in Somerville, Mass. She reported multiple investigative stories about municipal finances and budget allocation, building development and inspection, and personnel. When the pandemic began she became a de facto public health reporter, writing daily and weekly reports using available data to quickly communicate rates of infection and city response.

She's worked for print and digital outlets, writing everything from quick-hit breaking news to long-form community features. More recently, Julia managed content strategy at a startup creating a social platform for licensed nurses, overseeing a team of nurse freelancers and editing interview transcripts and news articles for publication.

She holds a Bachelor's degree in communications from Simmons University, with a focus in journalism. Outside of work, Julia enjoys working on crafting projects, learning about homesteading, and singing in cover bands.

Chris Schafer
Edited byChris SchaferSenior Editor
Chris Schafer
Chris SchaferSenior Editor
  • 15+ years in content creation

  • 7+ years in business and financial services content

Chris is a seasoned writer/editor with past experience across myriad industries, including insurance, SAS, finance, Medicare, logistics, marketing/advertising, and many more.

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John Leach
Reviewed byJohn LeachSenior Insurance Copy Editor
Photo of an Insurify author
John LeachSenior Insurance Copy Editor
  • Licensed property and casualty insurance agent

  • 8+ years editing experience

John leads Insurify’s copy desk, helping ensure the accuracy and readability of Insurify’s content. He’s a licensed agent specializing in home and car insurance topics.

Featured in

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