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Auto InsuranceNovember 24, 2025Maxwell Insurance Group

Arizona Auto Insurance Requirements: What You Need to Know

Learn about Arizona's auto insurance requirements (25/50/15), liability coverage, and important considerations for driving in the Grand Canyon State.

Arizona Auto Insurance Requirements: What You Need to Know

Arizona requires all drivers to carry auto insurance. Understanding the state's requirements and common coverage gaps helps you stay protected on Arizona roads.

Arizona's Minimum Auto Insurance Requirements

Arizona mandates liability coverage with minimum limits of 25/50/15:

Bodily Injury Liability: $25,000/$50,000

  • $25,000 per person: Maximum for one person's injuries
  • $50,000 per accident: Maximum for all injuries combined
  • Property Damage Liability: $15,000

    Covers damage you cause to others' property—vehicles, fences, buildings, and other structures.

    Why Arizona Minimums May Not Be Enough

    Growing Medical Costs

    Phoenix and Tucson healthcare costs continue to rise. Serious accident injuries can easily exceed $25,000 per person.

    Vehicle Values

    With average new vehicle prices exceeding $47,000, the $15,000 property damage minimum is often inadequate for today's cars.

    Your Assets at Risk

    If you cause an accident exceeding your limits, you're personally responsible for the difference. Your savings, property, and future wages could be at risk.

    Recommended Coverage

    Consider at least 100/300/100 for better protection. The premium increase is typically modest compared to the additional coverage.

    Arizona-Specific Considerations

    Uninsured Motorist Coverage

    Arizona has a notable percentage of uninsured drivers. While not required, UM/UIM coverage protects you when the at-fault driver can't pay.

    Extreme Heat Effects

    Arizona's intense heat affects vehicles:
  • Tire blowouts more common in summer
  • Battery failures increase
  • Comprehensive coverage protects against heat-related damage
  • Monsoon Season

    Summer monsoons bring:
  • Flash flooding on roads
  • Dust storms reducing visibility
  • Comprehensive coverage helps with weather damage
  • High Snowbird Season

    Winter brings many seasonal residents unfamiliar with local roads, potentially increasing accident risk.

    Optional but Recommended Coverages

    Comprehensive Coverage

    Protects against:
  • Theft (Phoenix has higher vehicle theft rates)
  • Weather damage from monsoons
  • Vandalism
  • Animal strikes
  • Collision Coverage

    Covers your vehicle damage in accidents, regardless of fault. Required by lenders if you finance your vehicle.

    Medical Payments Coverage

    Pays your medical bills regardless of fault—faster than waiting for liability claims.

    Saving on Arizona Auto Insurance

  • Bundle with home: Multi-policy discounts available
  • Good driver discounts: Clean record lowers rates
  • Shop carriers: Rates vary significantly
  • Higher deductibles: Lower premiums with higher out-of-pocket
  • Low mileage discounts: Available if you drive less
  • Get Arizona Auto Coverage

    Arizona's minimum requirements may leave you exposed. Let us help you find coverage that truly protects you and your assets.

    *Coverage options and rates vary by carrier and circumstances. This information is educational only.*

    Ready for a quote? Contact us or call (208) 880-5598.

    References

  • Arizona Department of Insurance and Financial Institutions - Official state requirements
  • Arizona Department of Transportation - Driving regulations
  • Insurance Information Institute - Auto insurance education
  • Arizona Revised Statutes Title 28, Chapter 9 - Arizona insurance laws
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