The Complete Guide to North Carolina Car Insurance
Lemonade is on the way to the Tar Heel State and we’ll let you know as soon as we arrive! In the meantime, we’ll help you navigate all things NC car insurance like rates, requirements, and throw in smart shopping tips.
How much does car insurance cost in North Carolina?
Car insurance in North Carolina averages $147/month for full coverage, but your actual rate depends on where you live, what you drive, and your driving record.
Here’s what drivers pay in major cities:
| City | Average cost of car insurance |
|---|---|
| Charlotte | $166 |
| Raleigh | $148 |
| Greensboro | $153 |
| Durham | $143 |
| Winston-Salem | $139 |
Source: ValuePenguin
Why is car insurance so low in North Carolina?
North Carolina drivers face unique risks that drive insurance costs
Uninsured drivers
7.4% of drivers in North Carolina are uninsured vs. 13% nationally, lowering costs for everyone else.
Car theft
FBI data shows there were 27,455 reported motor vehicle thefts in 2024 in NC, down 3% from the previous year.
Natural disasters
NC has a relatively moderate FEMA disaster rating of 91, with the highest risks of hurricane and inland flooding, driving up comprehensive coverage costs.
What car insurance do I need in North Carolina?
All North Carolina drivers must carry minimum insurance coverage to legally drive.
Here’s what the state requires:
| Required minimum coverages for North Carolina drivers | Minimum amount required | What’s covered | What’s not covered |
|---|---|---|---|
| Bodily injury liability | $50,000 (per person) $100,000 (per accident) | Medical bills, lost wages, and other costs when you hurt someone else in an accident | Your own injuries, damage to your car, amounts above your policy limits |
| Property damage liability | $50,000 | Damage you cause to other people’s cars, fences, buildings, and property | Damage to your own car, your own property, amounts above your policy limits |
| Uninsured Motorist Property Damage | $50,000 | Damage to your car when an uninsured driver is at fault | Your injuries, may have deductibles, hit-and-run rules vary by state |
| Uninsured/Underinsured Motorist Bodily Injury | $50,000 (per person) $100,000 (per accident) | Your injuries caused by drivers with no insurance OR not enough insurance | Car damage, amounts above your limits |
What additional car insurance coverages are offered in North Carolina?
Beyond state minimums, these optional coverages provide
extra protection for North Carolina drivers
Collision coverage
Pays to repair or replace your car if it's damaged in an accident with another vehicle or object like a fence or guardrail.
Read moreComprehensive coverage
Covers damage to your car from non-collision events like theft, vandalism, hail storms, flooding, or hitting an animal.
Read moreRental car reimbursement
Pays to cover alternative transportation while your car's being repaird. Specific coverage varies by insurer
Read moreWhat does (and doesn’t) car insurance cover in North Carolina?
Car insurance protects you financially in many situations, but it does not cover everything.
- Vandalism
- Fire damage
- Weather damage
- Theft
- Injuries to other people
- Damage to property
- Damage from a collision
- Fender benders
- Rental car reimbursement
- Towing
- Roadside assistance
- Windshield damage
Your insurance won’t cover oil changes, engine problems, stolen personal items like your purse, or damage from mountain trail riding
How much car insurance do I need in North Carolina?
You need enough coverage to protect yourself financially when accidents happen. If your car needed major repairs, could you afford these local North Carolina labor rates? Keep in mind, parts and materials cost extra.
| City | Body repair | Frame repair | Mechanical repair | Paint repair |
|---|---|---|---|---|
| Raleigh | $69 | $97 | $135 | $69 |
| Charlotte | $67 | $98 | $136 | $67 |
| Concord | $67 | $98 | $136 | $67 |
| Wake Forest | $69 | $97 | $135 | $69 |
| Greensboro | $66 | $90 | $125 | $66 |
Source: Caliber
What happens if I drive without insurance in North Carolina?
North Carolina takes uninsured driving seriously, and the penalties add up fast.
Fines
$50 civil penalty first offense, $100 second, $150 third. Plus $50 reinstatement fee each time.
Suspension
Registration suspended for 30 days for every offense.
Jail time
First offense gets probation 1-45 days. Repeat offenses can include jail time or probation.
What do you need to get a car insurance quote in North Carolina?
You’ll need some basic information like your driver’s license number and your car’s VIN, but with the right details handy, getting quotes is quicker than your morning coffee run. Here’s your checklist:
Your Details
- Driver's license number
- Social Security number (for credit check)
Your Car
- VIN number (found on your dashboard or door frame)
- Current registration or title
Your History
- Any accidents or tickets from the past 5 years
- Current insurance company and policy number (if you have coverage)
Your Preferences
- How much coverage you want
- Deductible amount you're comfortable with
- Monthly budget range
How does car insurance work in North Carolina?
Think of car insurance as a financial safety net for when things go wrong on the road.
Pick your protection
Shop around and choose coverage that fits your budget.
Make payments
Keep up with monthly payments and you’re covered.
When S%!t happens
File a claim, pay your deductible, and your insurer covers the rest up to your limits.
North Carolina car insurance FAQs
Is North Carolina a no-fault state?
No, North Carolina isn’t a no-fault state. North Carolina uses at-fault insurance and follows contributory negligence rules, which can bar recovery if you share any fault in the accident. PIP coverage isn’t required.
Do I need insurance to register a car in North Carolina?
Yes, North Carolina requires proof of auto insurance to register a vehicle. You must carry minimum liability coverage. Insurance is verified electronically — registration will be suspended if coverage lapses.
What are the top risks for driving in North Carolina?
North Carolina’s rural roads experience excessive speeding and distracted driving incidents. Heavy rainfall and hurricane conditions can create deadly driving situations, while increasing urban traffic contributes to more frequent crashes. Wildlife crossings are common in rural regions.
How long do I have to report an accident in North Carolina?
North Carolina requires accidents involving injury, death, or property damage to be reported immediately to law enforcement. Police usually handle the official report. You should still notify your insurance company promptly. Failure to report can lead to penalties.
What are the top safety tips for driving in North Carolina?
In North Carolina, slow down during heavy rain or hurricane weather. Watch for wildlife on country roads. Stay focused in city congestion. Don’t text and drive, especially on highways.
All coverage is subject to individual policy limits, terms, and conditions. Any hypothetical examples used in Lemonade editorial content are purely expositional.
*Uninusured driver rate sourced from ValuePenguin: https://www.valuepenguin.com/auto-insurance/uninsured-motorist-statistics sourced February, 2026
**Theft rate sourced from the FBI’s crime data explorer: https://cde.ucr.cjis.gov/LATEST/webapp/#/pages/explorer/crime/query sourced February, 2026
***Disaster risk rating sourced from FEMA’s Disaster Resilience Hub: https://resilience-fema.hub.arcgis.com/datasets/national-risk-index-states-expected-annual-loss/explore sourced February, 2026
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