Claire Smith Last Updated On: July 28, 2023

New Hampshire Car Insurance: How It Works & What to Look For

New Hampshirites take their state motto “Live Free or Die” seriously. So seriously, in fact, that it’s the only state that doesn’t require you to have car insurance to drive. But that doesn’t mean you’re free and clear if an accident occurs.

Keep reading to find out how car insurance in New Hampshire works, what your options are, and what you can expect to pay (spoiler alert: it’s cheaper than you might think). 

Let’s get started.

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Table of Contents

How New Hampshire Auto Insurance Works

New Hampshire is the only state in the U.S. where car insurance isn’t required. So, end of the blog post, right?

Wrong. The fact of the matter is that even though car insurance may not be required, drivers are still fully responsible for any damages they cause in an accident. This can quickly add up to tens of thousands of dollars when you consider vehicle repairs, medical bills, and legal fees/damages if you’re sued.

You need to be able to prove that you have sufficient funds to pay for damages in an at-fault accident. One of the ways to prove this is with car insurance. And if you can’t show financial responsibility, you will need to get car insurance otherwise. 

Other states require you to have car insurance to help ensure you can pay for damages you cause in an accident. In New Hampshire, it’s up to the driver to figure out how to pay if they forego car insurance. 

However, not all drivers can get away with no car insurance. If you fall into one of these categories, you’re going to need to pony up proof of insurance:

  • If you have been convicted of a DWI, you will need to show proof of insurance for at least three years afterwards. 
  • If you have been convicted of leaving the scene of the crime or have a reckless driving conviction, you’ll need to show proof of insurance. 
  • If you were found to be at fault in an accident and didn’t have insurance at the time, you will need to show proof of insurance for at least three years after. 

For many, it’s just simpler to have car insurance in place. And if you go that route, we’ll show you how. 

Minimum Auto Insurance Requirements in New Hampshire

If car insurance isn’t required, how could there be minimum amounts of coverage required?  Easy. New Hampshire doesn’t require you to have coverage at all, but if you choose to get it, you need to have a minimum amount. This includes:
  • Liability
    • Bodily injury of $25,000 per person and $50,000 per accident
    • Property damage of $25,000 per accident
  • Medical Payments
    • $1,000 per person
That’s all. You can certainly add more if you choose to (and we recommend you do), but this minimum amount of coverage will run you about $319 per year on average. Not too shabby.

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More Options for New Hampshire Car Insurance Coverage

If you decide to get more coverage than the minimums, you’ll be doing yourself a favor. After all, if you get into an accident, it’s more likely to be fully covered.

And here’s what’s most interesting: even though car insurance isn’t required in New Hampshire, it’s not one of the states with the highest number of uninsured drivers. In fact, it actually tops the list of states with the lowest number of uninsured drivers

New Hampshirites value car insurance, it’s clear. So if you want to build out your coverage, here are your options:

  • Liability: This includes bodily injury, the other driver’s medical bills, and property damage, repairs to the other driver’s vehicle. It also helps cover legal fees and damages if you’re sued after an accident. 
  • Collision: This covers repairs or a replacement for your vehicle if you collide with another vehicle or a stationary object like a telephone pole or fence.
  • Comprehensive: This covers other forms of damage to your car, like weather, theft, vandalism, or hitting an animal. 
  • Uninsured/Underinsured Motorist: If you’re in an accident with someone who doesn’t have car insurance or doesn’t have enough, this helps cover the difference. 
  • Medical Payments (MedPay): This helps cover the medical bills of you and your passengers after an accident, regardless of who caused it. 

Some people stop there, but if you want to further customize your car insurance policy, consider adding these optional add-ons:

  • Roadside Assistance: If your vehicle breaks down, this covers a tow to a nearby repair shop and minor roadside fixes.
  • Rental Car Reimbursement: If your vehicle is being repaired, this covers a rental car in the meantime. 
  • Gap: If your vehicle is totalled and the amount you still owe on it exceeds the depreciated value, this covers the gap. 
  • New Car Replacement: If your new car is totalled, this gets you a brand new vehicle rather than a check for the depreciated value.
  • Accident Forgiveness: This “forgives” your first accident so that your insurance rates don’t go up.

These options help give a little more peace of mind and financial protection, but if they don’t serve you, no sweat. New Hampshire is all about doing things your way, and that includes car insurance.

The Average Cost of Car Insurance in New Hampshire

You already know that the average cost of minimum car insurance in New Hampshire is $319, which is much lower than the national average. So, how does full coverage compare?

If you splurge on full coverage (liability, comprehensive, collision, and MedPay in this case), you can expect to spend about $1,262 per year on average. 

This can vary significantly based on many factors, including:

  • Age
  • Gender
  • City
  • Vehicle type
  • Driving history
  • Past insurance claims
  • Mileage
  • Credit history

For example, all other things being equal, living in different cities in New Hampshire can cause a major difference in your full coverage rates:

  • Concord: $1,183 per year
  • Rochester: $1,231 per year
  • Nashua: $1,314 per year

You can’t always control these factors. But if you’re considering moving to New Hampshire or changing cities, it could benefit you to do a little research on the cities with the lowest car insurance rates to help you save.

While you’re at it, if you’re in the market for a new car, certain makes and models pay lower rates. This is because they’re either highly rated for safety or because they aren’t a commonly stolen model. Either option will help you put more money back in your pocket. 

More money-saving tips next. In the meantime, get access to free quotes here to see what you can expect to pay for car insurance.

How to Find the Cheapest Car Insurance in New Hampshire

New Hampshire car insurance is affordable. More affordable than most states, in fact. But that doesn’t mean that you should settle for the first quote you get. 

We’ve rounded up our top money-saving tricks to help you spend even less on car insurance:

  • Compare Quotes: Gather at least three quotes from different providers before making your decision. Compare for cost, coverage, customer service, and other perks that you might appreciate.
    • Do this annually to ensure you’re always paying a competitive rate.
  • Look for Discounts: Most insurers offer discounts on car insurance, but you might need to ask for them. Common discounts include:
  • Increase Your Deductible: If you’re willing to pay more in an accident to get your claim paid, you could see your premiums drop significantly. But be sure that your deductible is still an amount you could afford to pay unexpectedly. 
  • Maintain a Clean Record: Driving safely will pay you back in dividends. Maintaining a clean driving record free of tickets and accidents will keep your rates low and affordable. Read more about tickets and your driving record here
  • Pay Premiums Annually: If you can afford to pay your premiums for the year in advance, you could save a tidy chunk of change. 
  • Bundle Home and Auto Insurance: If it makes sense, get your home and auto insurance from the same provider to earn a discount. While you’re at it, if your household has multiple vehicles, bundle them on the same policy to save.

There are car insurance savings to be had, even in a state like New Hampshire that’s known for low rates. A little homework is all it takes, and you’ll be laughing your way to the bank. 

Find even more money-saving tips here.

Get New Hampshire Auto Insurance Quotes Now

You don’t need to have car insurance in New Hampshire. But it’s a good idea. After all, it protects you financially should the unexpected happen, which can take place in the blink of an eye. 

If you’re interested in seeing what car insurance might cost you, it doesn’t hurt to gather some quotes. This way, you can make an informed decision and save a little money while you’re at it. 

Start by getting access to free car insurance quotes here. When it matters, we’ve got you covered.

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