Do You Need Insurance to Register a Car in North Carolina in 2025
North Carolina law mandates motor vehicle liability insurance for all vehicles operated on public roadways. Under North Carolina General Statutes Chapter 20, Article 9A and Article 13, vehicle owners must maintain financial responsibility before operating a motor vehicle in the state. The North Carolina Division of Motor Vehicles administers vehicle registration and enforces insurance compliance through the Insurance Verification System.
Legal Requirement for Insurance Coverage
North Carolina General Statutes Chapter 20, Article 9A establishes the Financial Responsibility Act, which requires all motor vehicles registered in North Carolina to maintain liability insurance or other acceptable proof of financial responsibility at all times. Under NCGS 20-309, no person shall operate or permit another to operate a motor vehicle upon the highways of North Carolina without the required financial responsibility.
Vehicle owners must maintain continuous insurance coverage throughout the registration period. Operating a vehicle without the required liability insurance constitutes a Class 1 misdemeanor and may result in a fine of up to $100, suspension of vehicle registration, suspension of driver's license for up to 30 days, and a $50 license restoration fee. The North Carolina Department of Insurance regulates insurance companies and handles consumer complaints related to automobile insurance.
North Carolina Division of Motor Vehicles
3101 Mail Service Center, Raleigh, NC 27699-3101
Phone: (919) 715-7000
Official Website: North Carolina Division of Motor Vehicles
Minimum Insurance Coverage Requirements
North Carolina General Statutes Section 20-279.21 establishes minimum amounts for motor vehicle liability insurance coverage. The North Carolina Department of Insurance regulates insurance companies operating in the state. North Carolina requires drivers to maintain liability insurance coverage that meets or exceeds statutory minimum amounts.
| Coverage Type | Minimum Amount |
|---|---|
| Bodily injury or death of one person | $50,000 |
| Bodily injury or death of two or more persons | $100,000 total |
| Property damage | $50,000 |
The minimum coverage requirements apply to liability insurance only.
North Carolina Department of Insurance
1201 Mail Service Center, Raleigh, NC 27699-1201
Phone: (855) 408-1212
Official Website: North Carolina Department of Insurance
Proof of Insurance Documents
North Carolina requires vehicle operators to carry proof of financial responsibility at all times while operating a motor vehicle. Vehicle owners must provide acceptable documentation during registration and maintain proof while driving. The following formats are accepted:
- Insurance identification card issued by an insurance company authorized to do business in North Carolina
- Copy of the liability insurance policy showing coverage information
- Electronic proof of insurance displayed on a mobile device or other electronic means
- Certificate of self-insurance issued by the Division of Motor Vehicles
North Carolina law enforcement officers may request proof of insurance during traffic stops, accidents, or vehicle inspections. Failure to provide acceptable proof may result in a citation with a fine of up to $100 and potential license suspension. The Division of Motor Vehicles maintains the Insurance Verification System, which electronically monitors insurance coverage for all registered vehicles and notifies the DMV when a policy is cancelled or lapses.
Exceptions to Insurance Requirements
Limited exceptions to the financial responsibility requirement exist under North Carolina law pursuant to NCGS 20-309:
- Motor vehicles owned by the United States government, the state of North Carolina, or any political subdivision of the state
- Motor vehicles owned by municipalities and operated by municipal employees in the course of their employment
- Farm tractors and other implements of husbandry temporarily operated on highways
- Motor vehicles covered by a certificate of self-insurance issued by the Commissioner of Motor Vehicles pursuant to NCGS 20-279.34
- All-terrain vehicles and utility vehicles when operated in accordance with NCGS 20-171.24
- Motor vehicles operated by dealers or manufacturers with dealer or manufacturer license plates, provided the dealer or manufacturer maintains a garage liability policy
Insurance Requirements for Vehicle Registration
The North Carolina Division of Motor Vehicles verifies insurance coverage before processing vehicle registration applications and renewals. Vehicle owners must provide proof of insurance when registering a vehicle for the first time in North Carolina or when renewing an existing registration. The insurance identification card must show the vehicle identification number, policy number, and coverage effective dates.
North Carolina residents who establish residency must register their vehicles within 60 days of becoming a resident. New residents must obtain North Carolina insurance coverage meeting state minimum requirements before completing vehicle registration. A person who resides in North Carolina for more than six months during any consecutive 12-month period is considered a resident for registration purposes.
North Carolina motorists may renew vehicle registration online through the NCDOT website, by mail, or in person at license plate agencies. The Insurance Verification System monitors all registered vehicles to ensure continuous compliance with insurance requirements. Vehicle owners whose insurance lapses will receive a Notice of Revocation of Registration from the DMV. The vehicle registration is automatically revoked 60 days after the insurance lapse date. To restore registration privileges after a lapse, vehicle owners must obtain valid insurance coverage, submit proof to the DMV, and pay a $50 restoration fee.
