Vermont ranks among the cheapest states for auto insurance, with full coverage averaging roughly $1,610 a year — about 40% under the national average. The state is at-fault but mandates uninsured/underinsured motorist coverage. Here's the coverage you must carry, what Vermonters pay, and how to save.
Vermont runs on an at-fault (tort) basis but mandates uninsured/underinsured motorist coverage alongside its 25/50/10 liability minimum. At roughly $1,610 a year for full coverage, Vermont is among the very cheapest states, aided by sparse population, light traffic, and little litigation. Harsh winters and wildlife collisions are the main claim drivers, and credit history is a permitted rating factor.
The coverages below are the minimum a driver must legally carry in Vermont. Source: Bankrate minimum-coverage requirements and state insurance department filings.
| Coverage | Minimum limit | Notes |
|---|---|---|
| Bodily injury liability | $25k / $50k | Per injured person / per crash |
| Property damage liability | $10k | Mandatory |
| Uninsured / underinsured motorist | $50k / $100k / $10k | Compulsory in Vermont |
| Personal injury protection | Not required | Vermont follows an at-fault model |
Independent market estimates based on Bankrate's 2026 rate data and NAIC filings, shown against the U.S. average. Actual rates vary by ZIP, carrier, and individual profile.
| Coverage level | Est. annual premium | vs. U.S. avg. | Notes |
|---|---|---|---|
| Full coverage | $1,610/yr | 40% below U.S. | Comprehensive and collision included |
| Minimum coverage | $351/yr | 58% below U.S. | Bundles the required UM |
Estimates apply national rate-increase multipliers to Vermont's full-coverage average. Approximate (“~”) figures multiply the state average by a national factor and will vary by carrier.
| Driver profile | Est. annual premium | vs. state avg. | Notes |
|---|---|---|---|
| Clean record, 30–45 | ~$1,610/yr | Baseline | Statewide full-coverage average |
| One at-fault accident | ~$2,302/yr | +43% | 1,610 × 1.43 per Bankrate |
| Speeding ticket | ~$1,996/yr | +24% | 1,610 × 1.24 per Bankrate |
| DUI on record | ~$3,027/yr | +88% | 1,610 × 1.88 per Bankrate |
| Young driver (18–24) | ~$3,220/yr | ≈2× | About double per Bankrate |
| Poor credit score | ~$2,737/yr | +70% | 1,610 × 1.70 per Bankrate |
ⓘ Source: Bankrate 2026 rate data and NAIC filings. Figures are independent estimates, not quotes. Verify pricing with a licensed agent or carrier.
Vermont blends very low premiums with required UM/UIM, so even a minimum policy provides uninsured-driver protection. Winter and wildlife risk make collision and comprehensive coverage worthwhile, and full coverage costs little more than the minimum. With credit and location still shaping rates, a quick carrier comparison keeps an already-low Vermont premium competitive.
Vermont is one of the most affordable states for auto insurance, with required UM/UIM built into the minimum. Carrying full coverage (cheap here) and weighing a few carriers is the best way to stay well-protected at a low price.
Disclaimer: RateWire is an independent lead generation and comparison service. Rate figures for Vermont are independent market estimates compiled from publicly available Bankrate, NAIC, and state regulatory data — not quotes. Coverage requirements summarized here are for general information only and may change; always confirm current minimums with the Vermont insurance department. By submitting your ZIP code, you may be connected with licensed insurance agents or carriers who will provide actual quotes based on your individual profile. Always verify coverage terms and pricing directly with a licensed agent before purchasing.