Drivers in each state need to meet their state’s auto insurance requirements. The required coverage types and minimum coverage amounts vary from state to state, and new legislation can create new requirements. That’s what’s happening in Arizona.

Arizona Senate Bill 1087 establishes new auto insurance limits for liability coverage in the state. These new requirements go in effect on July 1, 2020.

As of July 1, 2020, Arizona drivers will need auto insurance liability coverage with minimum limits of $25,000/$50,000/$15,000. That’s $25,000 for bodily injury per person, $50,000 for bodily injury per accident and $15,000 per accident for property damage.

Before this change, the minimum liability limits were $15,000/$30,000/$10,000.

This is a state-wide change that applies to everyone in the state. All Arizona drivers will have to meet the new requirements, regardless of the insurance provider they use. If you currently carry the minimum insurance limits required in Arizona, your limits will have to increase on July 1 to meet the new requirements.

Before, the total liability limit was $55,000. Now, it’s $90,000. That’s an increase of more than 60 percent.

Because drivers need more coverage, their rates will need to increase. A rate increase of about 60 percent is possible. If you had a monthly premium of $100 before the change, you might have a monthly premium of about $160 after the change. However, many factors impact auto insurance rates, so check with your insurance company to see exactly how much you will need to pay.

The increased insurance limits are mandatory for Arizona drivers. Your rates will go up because you are getting more coverage – and more coverage is a good thing.

At the same time, you have to be able to afford your coverage. With RightSure, you have access to more than 40 carriers so you can be sure you’re getting the best rate available for you.

Don’t wait. Work with your RightSure agent ahead of the July 1 change so you know what to expect. If you can’t afford the new rate, call us so we can discuss your options.