Have you noticed your Nevada Auto Insurance premium increase? We may have a couple answers to your insurance questions. Since 1981, Nevada drivers have been required to carry auto liability insurance in the amount of $15,000 in bodily injury per person, $30,000 in bodily injury per accident, and $10,000 in property damage (“15/30/10”). In the 2017 Legislative Session, Senate Bill 308 was passed, increasing the minimum motor vehicle liability insurance coverage to $25,000 in bodily injury per person, $50,000 in bodily injury per accident, and $20,000 in property damage (“25/50/20”). Nevada drivers who currently have limits lower than 25/50/20 will be required to purchase the 25/50/20 minimum liability coverage by July 1, 2018 to ensure that they are in compliance with Nevada law avoid penalties.

In addition to the required insurance above, Nevada drivers can purchase Uninsured/Underinsured Motorists (“UM/UIM”) coverage on an optional basis. Nevada law requires an insurance company to offer this protection at a level no less than the minimum liability limits. With the change in liability limits to 25/50/20, effective July 1, 2018, Nevada drivers who have purchased UM/UIM in the amount less than 25/50 will have to re-select (or reject) the UM/UIM coverage.

Many Nevada drivers can expect a change in their auto insurance premiums because the higher limits requirement (for both liability coverage and UM/UIM coverage) results in a higher risk exposure for the insurance companies.  In preparation for the changes to the law, the Division of Insurance has received and approved rate proposals from several auto insurance companies. Some companies have stopped offering the 15/30/10 limits and have begun transitioning their policies to the 25/50/20 limits at renewals of the policies.

We highly encourage Nevadans to review their auto insurance policies and selected limits, and contact their insurance agent or company to determine what coverages and limits are best for them. Here at Capital Insurance Service, formerly Capital Insurance Service, we handle over 20 different insurance companies, we shop for the accurate rate that best fits your needs.