Minnesota car insurance rates

Minnesota is a no-fault state. Every policy, which the statute calls a plan of reparation security, must pay at least $40,000 in basic economic loss benefits per injured person: $20,000 for medical expense and $20,000 for income and other losses (Minn. Stat. 65B.44). It must also carry 30/60/10 liability limits (65B.49, subd. 3) and separate uninsured and underinsured motorist coverage of at least 25/50 each (65B.49, subd. 3a).

No-fault benefits pay your own losses whoever caused the crash. A suit for pain and suffering is allowed only past the threshold in 65B.51. All statute text below is from the 2025 Minnesota Statutes published by the Revisor of Statutes, read on 2026-10-22.

Required coverage layers under Chapter 65B

Unlike states that let a driver sign away UM or UIM, subdivision 3a makes both mandatory for every vehicle registered or principally garaged in Minnesota. Insurers do not have to sell UM/UIM limits above the policy's bodily injury limit, and UM/UIM limits on two or more vehicles cannot be added together for one accident. Inside the $20,000 non-medical bucket, disability and income loss benefits pay 85% of lost gross income up to $500 a week, and funeral benefits are capped at $5,000 (65B.44, subds. 3 and 4). The UM/UIM coverage guide explains the difference between the two coverages.

When a Minnesota injury claim can include pain and suffering

Minn. Stat. 65B.51, subd. 3 bars damages for noneconomic detriment, the statute's term for losses like pain, suffering and inconvenience, in a suit over a crash unless one of two tests is met.

• Medical expense test: reasonable medical expenses must exceed $4,000. Free care from a relative or household member counts toward the total. Diagnostic x-rays and rehabilitation that is not remedial do not count.
• Injury test: the injury caused permanent disfigurement, permanent injury, death, or disability for 60 days or more. Disability here means being unable to do substantially all of your usual daily activities.

Below both tests, the injured person's own no-fault benefits are the main source of payment for economic losses, and the at-fault driver's liability coverage is not reached for noneconomic damages.

Claim deadlines in the unfair settlement statute, 72A.201

Minnesota writes claim-handling deadlines into statute, mostly counted in business days. Missing them is an unfair settlement practice the Commerce Department can act on.

• Acknowledge a new claim within 10 business days, with the phone number of a company representative, unless the claim is settled in that time (subd. 4, clause 1).
• Reply within 10 business days to other claim communications that call for a response (subd. 4, clause 2).
• Finish the investigation and accept or deny within 30 business days of the claim notice, or tell the claimant why it is not done and when it will be (subd. 4, clause 3).
• Pay an agreed settlement within 5 business days of receiving the agreement or of the claimant meeting its conditions, whichever is later (subd. 5, clause 5).
• Inspect a vehicle that cannot be driven safely within 5 business days of the claim notice; other inspections within 15 days (subd. 6, clause 3).
• For a no-fault benefits claimant, provide a copy of the claim file within 10 business days of a written request, with listed exclusions (subd. 6, clause 13).

Insurers must also answer an inquiry from the commissioner about a claim within 15 working days (subd. 9). For steps on documenting your side, see how to file a car insurance claim.

Insurance certificate after a no-insurance revocation

The Minnesota forms read for this page do not use the SR-22 name. What Driver and Vehicle Services requires is an Insurance Certification (form PS35016): a certificate completed by an authorized representative of the insurance company, not the agent, filed before a license revoked for no insurance is reinstated. The form says the insurance must be kept for one calendar year. A driver who owns no vehicle can qualify by being named as a driver on someone else's policy or by buying a non-owner's or operator's policy.

The penalty side sits in Minn. Stat. 169.797, subd. 4. Driving without the required security is a misdemeanor with a fine of at least $200, and a third offense within ten years of the first of two prior convictions is a gross misdemeanor. A conviction brings license revocation of up to 12 months, plus registration revocation if the driver owns the vehicle. Under subdivision 4a the commissioner can also suspend a license and revoke a registration from department records alone, and can require the certificate to be noncancelable for up to one year.

Minnesota Automobile Insurance Plan

Sections 65B.01 to 65B.12 set up the Minnesota Automobile Insurance Plan to guarantee coverage for anyone unable to buy it through ordinary methods. Every insurer licensed to write auto liability or physical damage coverage in Minnesota must belong. A qualified applicant is a Minnesota resident who owns a vehicle registered in the state, holds a valid driver's license or must file an insurance certificate, and owes no unpaid premiums on prior auto insurance (65B.02, subd. 2).

Plan policies for private passenger cars include the statutory liability minimums, UM/UIM, no-fault benefits, a choice of higher liability limits up to 50/100/25, and physical damage coverage with deductible options (65B.06, subd. 2). A nine-member governing committee runs the plan, and four of its members are public members appointed by the commissioner (65B.03).

Taking a dispute to the Commerce Department

Auto insurance complaints go to the Minnesota Department of Commerce. Its after-accident page points to an online complaint form and to the Consumer Services Center at 651-539-1600, or 800-657-3602 in Greater Minnesota. When writing it up, include the claim number and the dates each 72A.201 deadline passed.

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