Almost every state requires its licensed drivers to have a minimum amount of insurance coverage. The required insurance generally includes bodily injury liability coverage and property damage liability coverage in certain minimum amounts.

You are required to show proof of the minimum insurance coverage to a police officer when you are stopped for a moving traffic violation or involved in a traffic accident—and you may receive a citation if you are not able to show proof of insurance. And in some states you are required to show proof of insurance to register your car. In those states, the failure to register your car may result in an additional citation.

In Vermont, as in most states, drivers are legally required to carry a minimum amount of car insurance. The state mandates that drivers have both bodily injury liability coverage and property damage liability coverage. The minimum coverage amounts in Vermont are $25,000 for bodily injury to one person, $50,000 for bodily injury per accident, and $10,000 for property damage per accident. Vermont law also requires uninsured/underinsured motorist coverage with the same minimums for bodily injury and $10,000 for property damage. Drivers must provide proof of insurance when stopped by law enforcement for a traffic violation or when involved in an accident. Failure to provide this proof can result in a citation. Additionally, proof of insurance is required for vehicle registration in Vermont. Not registering a vehicle due to lack of insurance can lead to further penalties.