Buying auto insurance is far from optional if you own a car in Kentucky. So here’s the latest statistical report on Kentucky car insurance laws and premiums. Armed with this valuable info, Kentucky drivers can customize auto insurance plans to suit their personal needs.

Kentucky Minimum Liability Coverage

The minimum amount of auto insurance coverage required by law in the state of Kentucky is $25,000 in Personal Injury Protection (better known as PIP), $50,000 in multiple injury protection (for others killed or injured), and $10,000 in protection against property damage. Insurance agents refer to this minimum coverage amount as 25/50/10. However, most car insurance minimums do not cover the actual cost of an accident. Experts recommend 100/300 coverage for all drivers. Uninsured Motorist Insurance (UMI) is also recommended.

Penalties for Driving Without Insurance in Kentucky

For the first offense, the penalty for driving without insurance in Kentucky is a fine of up to one thousand dollars and/or ninety days in jail. Repeat violations within a five year period result in fines of up to $2,500 and jail terms of up to six months. Despite the stiff penalties, roughly eighteen percent (18%) of vehicles on Kentucky roads are uninsured.

Auto Insurance Rates in Kentucky

The average annual auto insurance premium for drivers in the state of Kentucky was $1,295 in 2016. This is slightly below the national average annual car insurance premium, which was about $1,347 at that time. This may be partly a result of Kentucky’s relatively poor economy, which helps explain the state’s higher than average rate of uninsured vehicles. Also, statistical reports from reveal a strong correlation between the number of uninsured vehicles on the roads and the rate of fatalities caused by speeding. More or less, increased fatalities lead to increased premiums.

Also weighing in is the fact that Kentucky is a “no-fault” state. This means that car insurance in Kentucky will cover monetary damages regardless of who is at fault. No-fault states have higher premiums, in comparison to tort states. This is why the average car insurance premiums in Kentucky are not lower.

Low Cost Car Insurance Programs in Kentucky

Most carriers of auto insurance offer discounts. Depending on your car insurance provider, low cost auto insurance programs in Kentucky can include Accident-Free Discounts, Good Driver Discounts, Good Student Discounts, Multiple Auto Discounts and Multiple Line Discounts, to name a few. Check with your local agent for complete details. Ask about discounts when receiving quotes. Then compare quotes.

Obtaining Auto Insurance Quotes in Kentucky

Recent online consumer reviews indicate that the top publicly available auto insurance companies in the United States are Allstate, Geico, Auto Owners Insurance, The Hartford, State Farm and 21st Century. Also popular in Kentucky are nationally recognized firms like AMICA Mutual, Liberty Mutual and Encompass. Some Kentucky car owners opt for local carriers like Kentucky Farm Bureau Insurance. Kentucky has dozens of auto insurance companies to choose from, all of them offering competitive rates. Call an agent near you for quotes and further assistance.