Mississippi Auto Insurance Laws, Minimums, Requirements

What mandatory auto insurance laws exist in the state of Mississippi?

• The state of Mississippi requires that all motorist carry the minimum liability auto insurance coverage.
• The minimum liability coverage that you must carry in order to operate a motor vehicle in the state of Mississippi is $25,000 bodily injury liability per person in an accident, $50,000 bodily injury liability per accident, and $25,000 property damage liability.
• All Mississippi motorists must carry proof of insurance in the vehicle at all times.
• If you are caught without insurance or proof of insurance, you will be fined $1,000 for your first offense and your license will be suspended for one year or until you provide proof of insurance. Penalties increase on the second and subsequent offenses.

What is the Minimum Liability Coverage (Bodily Injury amounts per person, per accident, and property damage amounts):

If you buy automobile insurance in the state of Mississippi, your policy must include minimum liability coverage of:

$25,000 bodily injury liability per person in an accident,
$50,000 bodily injury liability per accident,
and
$25,000 property damage liability per accident

What are the Rental Car Insurance Requirements?

In the state of Mississippi, the penalties are stiff for operating any motor vehicle without the minimum liability insurance requirements. This includes rental cars. Rental cars must carry the minimum liability coverages required by Mississippi law. It is important to keep in mind that most Mississippi auto insurance policies include car rentals. Most credit cards cover car rentals as well, so be sure to check your auto insurance policy and/or check with your credit card issuer. If you find that your credit card and/or auto insurance policy do not cover rental cars, you must purchase car rental insurance from the car rental company. It typically costs an extra $7-$14 a day.

What are the rules pertaining to Uninsured/Underinsured Motorist Coverage?

Uninsured/Underinsured Motorist Coverage is not required in the state of Mississippi. Because Mississippi is a Tort state, most insurance companies recommend that driver’s consider carrying higher coverages than the state minimums. 

What are the rules pertaining to the exclusion from coverage of a driver living in household?

In the Mississippi, auto insurance companies can write policies that exclude household members. These exclusions are listed in the exclusions section, which also includes a list of all possible circumstances that would free the insurance company from the responsibility of paying a claim. It is important to examine your auto insurance policy carefully before you sign on the dotted line.

What are the rules regarding whether a driver has prior insurance? That is, how does state law handle it if a driver has no prior insurance or has let their previous insurance lapse?

If you fail to maintain continuous coverage on a vehicle throughout the period of operation, you have a lapse in coverage. This means that when your insurance lapses, you are driving without insurance. It is against the law to drive without insurance in the state of Mississippi. If you are caught without insurance or proof of insurance, you will be fined $1,000 for your first offense and your license will be suspended for one year or until you provide proof of insurance. Penalties increase on the second and subsequent offenses. All Mississippi motorists must carry proof of insurance in the vehicle at all times.

What are the rules and guidelines auto insurance companies must follow regarding the use of Personal Credit History in selecting applicants and setting rates?

In the state of Mississippi, auto insurance companies can use Personal Credit History to determine rates and offers for products. That said, Personal Credit History is not the only assessment tool auto insurance companies use. They also consider age, gender, where you live, car make and model, how much you drive, and driving record.

Is the state a No Fault or Tort state? What does either mean to the policy owner?

The state of Mississippi follows a Tort System. What this means is, if you are involved in an accident, someone must be found to be the cause or fault of the accident. The person deemed at fault is responsible for all damages. Damages are usually handled through the at-fault person's insurance company. Because Mississippi is a Tort state, most insurance companies recommend that driver’s consider carrying higher coverages than the state minimums. 

What is the average auto insurance premium in this state? As of what year?

As of 2006, Mississippi resident’s average insurance premium was approximately $746, the 26th most expensive in the nation. The state of Mississippi did not see an increase or decrease in the average insurance premium from the previous year. The national average was $817.

Sources

Insurance Information Institute

Mississippi Insurance Department