Car Insurance in Vermont: 2026 Rates & Requirements

Vermont consistently ranks among the most affordable states in the country for car insurance, combining a low property damage minimum with very low population density and light traffic even in its largest city.

Minimum Insurance Requirements in Vermont

Vermont requires drivers to carry at least $25,000/50,000 in bodily injury liability (per person / per accident) and $10,000 in property damage liability. Vermont requires uninsured/underinsured motorist coverage at higher limits than its liability minimum: $50,000/$100,000. Vermont is an at-fault (tort) state: the driver who caused the accident, through their liability coverage, pays for the other party's injuries and property damage. These are legal minimums, not a safety net for your own finances — most independent advisors recommend carrying meaningfully higher limits than the state requires, especially if you own a home or have savings to protect.

What Drives the Cost of Car Insurance in Vermont

Burlington accounts for a disproportionate share of the state's traffic and accident claims relative to its size, but even Vermont's largest city has light congestion by national standards. Winter weather across the state contributes to seasonal accident risk, but Vermont's very low population density, low uninsured-driver rate, and low litigation activity are the main reasons the state consistently posts some of the lowest average premiums in the country.

Get Your Own Vermont Estimate

The figures above are state averages for a 35-year-old driver with a clean record and full coverage — useful as a benchmark, but your own rate depends on your exact ZIP code, vehicle, driving history, and coverage choices. Run your own free, no-signup estimate below, pre-filled for Vermont.