In the Granite State, vehicle insurance rates are among the lowest in the US. Both average liability-only and full coverage premiums are reasonably priced. Although a liability policy isn’t mandatory when financial responsibility criteria are met, the uninsured driver ratio at 6.1%—less than half the national average—shows the recognition of auto insurance’s importance among drivers in New Hampshire. The state’s affluence and cheap rates might have contributed to higher policy adoption due to affordability being less of a concern.
New Hampshire Car Insurance Requirements
While New Hampshire’s motor vehicle laws don’t mandate auto insurance, you are obligated to show that you have sufficient funds to meet the state’s motor vehicle financial responsibility requirements in case of an “at-fault” accident. Failing to meet these criteria could lead to the suspension of your driving privileges in New Hampshire.
If you’re in an auto accident and found at fault, you might be held legally responsible for bodily injury or property damage. This could lead to a lawsuit and your assets being used to cover awarded damages. Even in cases where you’re not at fault, you could face significant costs. New Hampshire’s auto insurance policies offer coverage to safeguard you in these scenarios, including cases where the other party lacks funds, insurance, or sufficient insurance coverage.
Your Liability Coverage compensates third parties when you are legally liable to pay for their injuries and damages because you caused them. If you buy auto insurance in New Hampshire, the minimum limits available for Liability Coverage are:
- $25,000 for bodily injury per person
- $50,000 for bodily injury per accident
- $25,000 for property damage
And, if you buy car insurance in New Hampshire, you must also include Uninsured/Underinsured Motorist Bodily Injury and Medical Payments coverage with the following minimum limits:
- $25,000 for uninsured/underinsured motorist bodily injury per person
- $50,000 for uninsured/underinsured motorist bodily injury per accident
- Medical payments: $1,000 per accident
Uninsured Motorists Coverage offers protection in cases where injuries arise from accidents with an at-fault uninsured driver or a hit-and-run incident. It also safeguards against injuries caused by insured drivers with coverage lower than yours. In New Hampshire, Uninsured Motorists Coverage is required to match your Liability vehicle insurance coverage limits.
Medical Payments Coverage pays for medical expenses arising from an automobile accident, irrespective of fault.
Official website explains its provisions and intricacies in detail.
Vehicle Insurance Prices in New Hampshire
Being one of the smallest and least populated states, with limited urbanization and absence of large cities, along with its affluent and educated population, creates the ideal conditions for the lowest rates. This is clearly evident in the figures below.
The average cost of state minimum vehicle insurance in New Hampshire is $319, which is nearly half of the US average. And the average full coverage premium is $1262 and it is $752 lower than the national average.
Competitive Car Insurance Companies in New Hampshire
There aren’t many urban centers and the largest city is Manchester with a population of just over 100,000. While premiums tend to be reasonable, below listed carriers consistently offer the most economical rates across most cities of NH, including Manchester. Premium fluctuations are minor across the state. Vehicle insurance is approximately 10% cheaper on average than the state average in Concord, one of the more affordable cities. Conversely, in Manchester, one of the pricier cities, it is around 12% higher on average.
- State Farm
- Geico
- Concord Group
- MMG Insurance
- Safety Insurance
Auto insurance rates undergo frequent updates, potentially causing shifts in competitiveness of companies in your area. That is why it is necessary to keep checking for quotes at least once a year. Furthermore, shopping around may allow motorists to find better coverage or more reliable insurer. If you keep renewing your policy automatically, you run the risk of keeping your out-dated and expensive policy longer than you should.
Important New Hampshire Car Insurance and Driving Facts
- New Hampshire stands as the sole state lacking laws mandating seat belts for both drivers and passengers. As per NHTSA, its estimated seat belt usage in 2021 was notably one of the lowest in the country at 75.5% compared to the national average of 90.4% within the same year. Irrespective of legal requirements, seatbelts play a pivotal role in saving lives, so remember to buckle up.
- In New Hampshire, drivers cover an average of 11,570 miles annually, a notably lower distance compared to the national average. This aspect is often considered by certain vehicle insurers when determining premiums, as reduced estimated yearly mileage correlates with a decreased likelihood of accidents.
- This state has one of the highest vehicle ownership ratios in the country with one car per person in the state.
- New Hampshire drivers rank among the best in the country when considering accident ratios related to drunk, distracted, careless and drowsy driving.
- New Hampshire has one of the highest snowfalls in the country and that makes it one of the states with the worst winter driving conditions.
- In the realm of credit scores, New Hampshire holds a commendable position with one of the top three highest averages in the nation, measuring 734 according to Experian. This is especially promising as credit scores impact auto insurance rates. In the state, individuals with poor credit face an average increase of 73% in vehicle insurance premiums, as reported by Forbes.
- For those with a DUI conviction on their record in NH, car insurance rates surge by an average of 126%, marking one of the highest premium increases for a DUI in the nation, as indicated by Forbes.
- In New Hampshire, you need to show financial responsibility for any losses caused by accidents you’re responsible for. This is commonly done through liability vehicle insurance coverage. Alternatively, you can meet this requirement by submitting a receipt from the state treasurer indicating a cash deposit or securities deposit that fulfills the minimum liability insurance criteria. However, this could be more cumbersome than obtaining a car insurance policy, which offers the added advantage of potentially releasing you from liability claims by compensating for third-party losses.
People purchase auto insurance for various reasons, with attaining peace of mind being one of the prominent one. Additionally, it represents a straightforward and cost-effective solution to fulfilling financial and legal obligations while safeguarding the investment you made on your vehicle.