Lauren Lewthwaite Last Updated On: July 19, 2023

What You Should Know About Car Insurance in Nebraska

Nebraska is the birthplace of Marlon Brando and Fred Astaire, and it’s also a great place to get car insurance. So whether you’re commuting on the US 20 to get to work or taking a weekend trip to North Platte, you’ll want good car insurance. 

Before shopping around for car insurance in Nebraska, you should know a few things first. So read on, and we’ll tell you everything you need about car insurance if you live in the Cornhusker State. 

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Table of Contents

Nebraska Car Insurance Requirements

If you want to legally drive through Nebraska’s farmland, the state law indicates you must drive with liability and uninsured motorist coverage.

  • Liability minimum requirements (25/50/25)
    • $25,000 bodily injury per person, for a maximum payout of $50,000 bodily injury coverage per accident
    • $25,000 property damage coverage
  • Uninsured motorist coverage (25/50)
    • $25,000 a person per accident, if an uninsured or underinsured motorist injures you for a total of $50,000 per accident
  • In Nebraska, you can carry either paper or electronic proof of insurance

Please remember that driving with basic liability or state minimums may satisfy your car insurance requirements but offers virtually no protection. State minimums will protect you from a minor fender bender but will provide little protection if you’re involved in a mid to large-scale car accident. 

For instance, if you collide and total a vehicle worth $75,000 and your property damage coverage only insures you for $25,000, you’ll need to pay the balance out of pocket. 

If you don’t want to assume that much risk, you should consider taking out collision or comprehensive car insurance.

Optional Car Insurance Add-Ons

If you’re interested in exploring the open roads of Nebraska and want more comprehensive car insurance than just basic liability, it’s time you examine your policy options. These are some optional add-ons that you should consider adding to your car insurance policy:
  • Collision: State minimums or liability protects you from paying out of pocket for the other driver’s expenses (medical and damages) that you hit, but it won’t cover damages to your vehicle. You’ll want collision coverage to ensure your vehicle gets repaired after an accident.
  • Comprehensive: If you want bumper-to-bumper coverage for your vehicle outside of an accident—theft, vandalism, weather-related damages, damages from hitting an animal, etc.—then you’ll want comprehensive insurance.
  • Medical Payments: If you or your passengers get hurt in a car accident but the at-fault driver’s insurance won’t cover your medical costs, medical payments will cover your medical bills. However, you may not need medical payment coverage if you have good health insurance coverage.
  • Roadside Assistance: If you need help to get your car back on the road, if your battery dies or if you’ve locked your keys inside the vehicle, roadside assistance will cover the cost of a tow truck driver to help get you back in the driver’s seat.
  • Rental Car Reimbursement: If your car is in the shop for repairs, this coverage will foot your rental car bills.
  • Gap or Loan/Lease Payoff Insurance: If you’re leasing or financing a car, gap insurance will pay off your outstanding car loan, so you don’t get stuck paying what’s remaining.
Being able to customize your policy means you’re in control of your insurance, from cost to coverage. We know that cost is an important factor in how much coverage you can afford, so keep reading for more details. 

How Much Is Nebraska Auto Insurance?

The average cost of liability car insurance in Nebraska is around $350 a year, whereas full coverage auto insurance in Nebraska is $1,500 annually. Thus, Nebraskans pay less than the national average for car insurance.

But you don’t need to guess what you’ll pay; get access to free car insurance quotes here.

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What Happens If You’re Caught Driving Without Proof of Insurance in Nebraska?

You don’t want to get caught driving without proof of insurance in Nebraska; if you do and are caught, it’s considered a Class II misdemeanor, which will result in some hefty penalties. 

Here’s the scoop on what will happen if you’re caught driving without valid insurance:

  • License & Registration: If you’re caught driving without proof of insurance at a traffic stop, you have 10 days to prove you have active coverage. Whereas if you’re involved in an accident without insurance, your license will be suspended until a letter of verification is provided.
  • SR-22: You’ll need an SR-22 for 3 years.
  • Fees: You’ll have to pay a $50 license reinstatement fee and a $50 registration fee.

If you were caught driving without car insurance, this is what you need to do:

  • Get car insurance with an SR-22
  • Get your insurance company to submit the SR-22 to the DMV
  • Pay your license and registration reinstatement fees
  • 3 years of continuous SR-22 coverage; if you lapse, the state will be alerted and your license and registration will be canceled

Driving without insurance isn’t worth the risk. And although you’re saving on car insurance just by living in Nebraska, we have more tips to make that coverage even more affordable. Keep reading. 

How Your Car Insurance Rates Are Calculated

Every state and every individual insurance company uses different variables to calculate your premiums—this is why you must shop around.    Here are some of the factors that affect how rates are calculated in the Cornhusker State:
  • Age: In Nebraska, the most expensive car insurance is for those aged 18-20, so age does factor into insurers’ determination of your rates.
  • Driving History: Good drivers get discounts as an incentive, whereas drivers with infractions (speeding or DUIs) pay higher rates. 
  • Coverage Level: Liability-only insurance (liability and uninsured motorist coverage in Nebraska) costs less than comprehensive coverage.
  • Credit Score: Nebraskans with good to exceptionally good credit will save money on their car insurance, while those with poor credit scores will pay higher rates.   
  • Your Vehicle: If you’re driving a vehicle that isn’t a sports car, luxury car, or a commonly stolen car, you’ll save on premiums.
  • Annual Mileage: How frequently you drive also affects your premiums. If you commute daily, you’ll pay more for car insurance in Nebraska than someone who drives occasionally. 
  • Your Location: Your zip code can affect your rates. For instance, if you live in Lincoln, a bustling city, versus the small town of Aurora, then as a city dwelling you’re more at risk of an accident and will pay more.
But don’t worry, cheap car insurance isn’t a pipe dream. Next, we’ll explore tips to save on car insurance premiums. 

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How to Get Cheap Auto Insurance in Nebraska

Everyone wants to save on car insurance, so they have more money to go to the Omaha’s Henry Doorly Zoo and Aquarium (duh!).  So, let’s put some money back in your pocket. These are some simple yet effective ways to help reduce your car insurance premiums:
  • Bundling: You’ll save if you bundle your car, home, or other insurance products together.
  • New Car: Some insurers will give you a small discount for being the first owner of a new car (the vehicle is the current model or up to two years old).
  • Payment Discounts: If you pay your premiums in full or don’t have a non-payment within 12 months, you can save money on rates. Some insurers also offer discounts if your premiums come out of your bank account automatically or you go paperless for bills.
  • Safety Equipment: You may get further discounts if you outfit your car with safety equipment like anti-lock brakes, an anti-theft system, and side airbags.  
  • Defensive Driving: If you enroll in an eligible defensive driving course, you’ll earn a discount.
  • Safe Driver: You can earn 5-10% off your premiums just by being a safe driver, which means being accident and claims-free for 2-3 years—depending on the provider. 
Don’t sleep on car insurance discounts: they can seriously add up and save you big on your premiums. 

High-Risk Violations and Their Effects in Nebraska

Nebraska may be home to Kool-Aid, but there’s nothing cool about getting caught committing a high-risk violation, like drinking under the influence (DUI). Of course, if you get busted doing a high-risk driving stunt you’ll see a spike in your premiums. The top three high-risk offenses that will put your premiums up over 80% are:
  • DUI will increase your rates by 81%
  • Racing will up your premiums by 85%
  • Leaving a hit-and-run or accident could increase your rates by 86%
Remember that if you’re convicted of a DUI or other serious driving infractions, you’ll need an SR-22 to get car insurance. As soon as you need an SR-22 to get car insurance, be advised that you’ll pay steeper premiums.

Final Thoughts on Getting Car Insurance in Nebraska

Nebraska is known for its farmlands, its Cornhusker sports teams, its incredible attractions, and for being home to the tasty Reuben sandwich. You’ll need good car insurance in Nebraska, with so much to see and do.

Good car insurance doesn’t mean checking off the base minimum with liability and uninsured motorist coverage. This won’t protect you from paying out of pocket in a mid-large scale accident. Instead, you’ll want comprehensive car insurance or to create a policy that works for you, so no matter what happens, you know your insurance plan has your back. 

If you’re ready to start exploring all the different car insurance options, check out the ConsumerCoverage website for more information, or click here for access to free quotes. 

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