Louisiana Auto Insurance Requirements: No-Pay, No-Play State (2026)

Quick Answer: Louisiana Minimum Auto Insurance

Louisiana law requires all drivers to carry liability insurance with these minimum limits:

This is commonly written as 15/30/25.

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What Louisiana Law Requires

Louisiana operates under a "fault" or "tort" system, meaning the driver who causes an accident is financially responsible for damages. Louisiana Revised Statutes §32:861 mandates that all vehicle owners maintain continuous auto insurance coverage.

Required Coverage:

• ✅ Bodily injury liability: $15,000 per person
• ✅ Bodily injury liability: $30,000 per accident (total for all injuries)
• ✅ Property damage liability: $25,000 per accident

Not Required (But Often Recommended):

• Uninsured/underinsured motorist coverage (recommended—can be waived in writing)
• Collision coverage (required by lender if financing)
• Comprehensive coverage (required by lender if financing)
• Medical payments coverage
• Personal injury protection (PIP)

Who Must Carry Insurance:

• All registered vehicle owners in Louisiana
• Anyone driving on Louisiana roads
• Out-of-state drivers (must meet Louisiana minimums while driving in state)
• Commercial vehicle operators (higher limits apply)
• Rideshare drivers (Uber, Lyft—commercial coverage required during active periods)

Louisiana's Electronic Verification System: Louisiana participates in the Insurance Verification System, which allows law enforcement to electronically verify your insurance status during traffic stops.

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Penalties for Driving Uninsured in Louisiana

Louisiana imposes some of the strictest penalties in the nation for uninsured driving:

Additional Consequences:

• Reinstatement fee of $100-$500 to restore your license
• SR-22 filing required for 3 years
• Vehicle registration can be revoked
• You may face jail time for subsequent offenses
• Civil liability for all damages in an at-fault accident

At-Fault Accident Without Insurance:

• You're personally liable for all medical bills and property damage
• Victims can sue for damages, pain and suffering, and legal fees
• Wage garnishment possible if judgment against you
• Criminal charges for serious accidents causing injury

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Why Louisiana's Minimums Are Dangerously Low

Louisiana's 15/30/25 minimums are among the lowest in the nation and don't reflect modern medical and repair costs:

Medical Costs in Louisiana:

• Average ER visit: $2,000-$4,000
• Ambulance ride: $800-$1,500
• Hospital stay (1 day): $12,000-$20,000
• Serious injury treatment: $75,000-$300,000+
• Long-term rehabilitation: $500,000+

Vehicle Repair Costs:

• Average collision repair: $4,500-$9,000
• Totaled vehicle replacement: $25,000-$45,000+ (avg new car price)
• Luxury/specialty vehicle repairs: $15,000-$40,000

Recommended Coverage Levels:

Louisiana ranks 5th highest for uninsured drivers in the U.S. at approximately 13%, making uninsured motorist coverage especially important.

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Uninsured/Underinsured Motorist Coverage in Louisiana

While not required, Louisiana law mandates that insurers offer UM/UIM coverage. You can reject it, but must do so in writing.

Why UM/UIM Coverage Matters in Louisiana:

• 13% of Louisiana drivers are uninsured
• High rate of hit-and-run accidents
• Protects you when at-fault driver has inadequate coverage
• Covers your medical bills, lost wages, and vehicle damage

UMPD (Uninsured Motorist Property Damage): Louisiana allows you to add UMPD coverage for property damage caused by uninsured drivers. This coverage has a $25,000 maximum and requires a $250 deductible.

Economic-Only vs. Full UM:

• Economic-Only UM: Covers medical expenses and lost wages only
• Full UM: Also covers pain and suffering damages
• Recommendation: Full UM coverage provides better protection

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SR-22 Requirements in Louisiana

When SR-22 is Required:

• DWI/DUI conviction
• Driving without insurance
• Accumulation of major violations
• At-fault accident while uninsured
• License suspension for any reason

How SR-22 Works: An SR-22 is a certificate your insurer files with Louisiana OMV proving you carry required coverage. If your policy lapses, the OMV is notified immediately.

Duration: Typically required for 3 years with no lapses

Cost: $15-$35 filing fee + significantly higher insurance premiums (40%-200% increase)

What Triggers Longer SR-22:

• Multiple DWI offenses: up to 5 years
• Serious traffic violations: 3-5 years
• Habitual violator status: up to 10 years

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Louisiana-Specific Insurance Considerations

Flood and Hurricane Damage: Louisiana is highly prone to flooding and hurricanes. Standard comprehensive coverage typically excludes flood damage.

• Flood damage to vehicle: NOT covered by standard auto insurance
• Comprehensive covers: Hail, wind damage (if vehicle not submerged), falling trees
• Flood insurance: Separate policy through private insurer or NFIP (for buildings, not vehicles)
• Hurricane deductibles: Some policies have separate, higher deductibles for hurricane-related claims

High-Risk Coastal Areas:

• Higher premiums in New Orleans, coastal parishes
• Limited coverage availability from some insurers
• Consider higher comprehensive coverage limits

No-Pay, No-Play Law: Louisiana's "No-Pay, No-Play" law (RS 32:866) limits what uninsured drivers can recover if injured by another driver:

• First $15,000 of bodily injury damages not recoverable
• First $25,000 of property damage not recoverable
• Applies even if the other driver was at fault

This law means uninsured drivers cannot fully recover damages even when they're the victim.

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How to Get Louisiana Auto Insurance

What You'll Need:

• Valid Louisiana driver's license (or out-of-state if new resident)
• Vehicle VIN, make, model, year
• Driving history (last 3-5 years)
• Current address and parking location

Documents to Keep in Vehicle:

• Insurance ID card (physical or digital via app)
• Vehicle registration
• Driver's license

Digital Proof Accepted: Louisiana allows digital insurance cards on your smartphone. Law enforcement can verify coverage electronically through the state system.

For New Residents: You have 30 days after establishing Louisiana residency to register your vehicle and obtain Louisiana insurance.

Louisiana Automobile Insurance Plan (LAIP): If you cannot obtain coverage through standard insurers (due to driving record or other factors), you may qualify for coverage through the LAIP, Louisiana's residual market.

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Alternatives to Traditional Insurance

Self-Insurance Certificate: Louisiana allows self-insurance if you own 25+ vehicles and can demonstrate financial responsibility of at least $100,000. Not available to individual drivers.

Deposit with OMV: You can deposit $55,000 in cash or securities with the Louisiana Office of Motor Vehicles. This is impractical for most drivers and doesn't eliminate personal liability.

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FAQ

What does 15/30/25 coverage mean?

15 = $15,000 max per person for bodily injury 30 = $30,000 max per accident for all injuries combined 25 = $25,000 max for property damage per accident

Example: If you cause an accident injuring three people, you're covered up to $15,000 per person, with a total maximum of $30,000 for all injuries. If damages exceed this, you're personally liable.

Does Louisiana require uninsured motorist coverage?

No, but insurers must offer it and you must reject it in writing if you don't want it. Given Louisiana's high uninsured rate (13%), UM coverage is strongly recommended.

What is Louisiana's No-Pay, No-Play law?

If you're driving uninsured and get into an accident (even if the other driver is at fault), you cannot recover:

• The first $15,000 of bodily injury damages
• The first $25,000 of property damage

This law penalizes uninsured drivers even when they're victims.

Can I drive in Louisiana with out-of-state insurance?

Temporary visitors: Yes, as long as your insurance meets or exceeds Louisiana's 15/30/25 minimums.

New residents: You have 30 days to obtain Louisiana insurance after establishing residency.

What happens if I let my insurance lapse in Louisiana?

• Insurance company notifies Louisiana OMV electronically
• License and registration may be suspended
• Reinstatement fee of $100-$500
• SR-22 may be required for 3 years
• Fines of $500-$1,000 if caught driving

How much does auto insurance cost in Louisiana?

Average Costs (2026):

• State minimum (15/30/25): $100-$180/month
• Full coverage (recommended limits): $180-$350/month
• High-risk drivers (SR-22): $300-$550/month

Louisiana has some of the highest auto insurance rates in the nation due to:

• High litigation rates (lawsuit-friendly state)
• Frequent natural disasters
• High uninsured motorist rate
• Urban crime rates in certain areas

Ways to Save:

• Bundle with home/renters insurance
• Multi-vehicle discount
• Good student discount (under 25)
• Defensive driving course completion
• Pay-in-full discount
• Compare quotes from multiple insurers

Does Louisiana cover flood damage to my car?

No. Standard comprehensive coverage does NOT cover flood damage. Louisiana drivers should understand:

• Flood damage requires separate flood insurance for property
• Vehicles damaged by floodwater are rarely covered
• Some insurers offer limited "water damage" coverage
• Hurricane wind damage (without flooding) may be covered under comprehensive

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Summary: Louisiana Auto Insurance Requirements

Key Takeaways:

• ✅ 15/30/25 liability coverage required by law
• ✅ Louisiana is a "fault" state—at-fault driver pays
• ✅ Penalties: $500-$3,000 fines, license suspension up to 2 years, SR-22 requirement
• ✅ State minimums are dangerously low—consider higher limits
• ✅ UM coverage not required but strongly recommended (13% uninsured rate)
• ✅ No-Pay, No-Play law penalizes uninsured drivers even when they're victims
• ✅ Flood damage NOT covered by standard auto insurance
• ✅ Louisiana has some of the highest insurance rates in the nation

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Important Disclaimer

This guide provides general information about Louisiana auto insurance requirements based on publicly available sources. This is not legal or insurance advice. Insurance requirements can change, and individual circumstances vary. Always verify current requirements with the Louisiana Office of Motor Vehicles (OMV) or Louisiana Department of Insurance, and consult with a licensed insurance professional for advice specific to your situation.

Last verified: January 2026 Sources: Louisiana OMV, Louisiana Department of Insurance, Louisiana Revised Statutes §32:861