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Kentucky Car Insurance Requirements: What You Must Carry

Kentucky requires at least $25,000 of bodily injury liability per person, $50,000 per accident and $25,000 of property damage liability (25/50/25), or a $60,000 single limit, plus $10,000 of personal injury protection (PIP). Uninsured motorist coverage is included unless you reject it in writing, and underinsured motorist coverage is available if you ask for it.

Kentucky is a choice no-fault state: your own PIP pays your economic losses after a crash regardless of fault, and your right to sue for pain and suffering is limited unless you reject that limit in advance. PIP benefits went up for policies issued or renewed on or after July 15, 2026, and the way the state checks insurance changes on January 1, 2027.

Key Takeaways

  • Kentucky requires 25/50/25 liability (or a $60,000 single limit) and $10,000 of PIP on every vehicle except motorcycles. Uninsured motorist coverage is included unless a named insured rejects it in writing.
  • For PIP benefits issued or renewed on or after July 15, 2026, the weekly cap on lost wages and similar losses rose from $200 to $500, and the funeral and burial amount rose from $1,000 to $5,000. The $10,000 total didn’t change.
  • If the state’s records show your car uninsured, the law gives you 14 days after the insurance became invalid to show proof before your registration is revoked. Getting it back costs a $40 reinstatement fee.
  • A first offense for driving uninsured carries a fine of $500 to $1,000, up to 90 days in jail, or both, plus a revoked registration for the owner. A second offense within five years brings higher fines and a revoked driver’s license.

Kentucky Minimum Car Insurance at a Glance

CoverageRequirement
Bodily injury liability$25,000 per person and $50,000 per accident
Property damage liability$25,000 per accident
Single limit option$60,000 combined, in place of the split limits above
Personal injury protection (basic reparation benefits)$10,000 per person. Required on every vehicle except motorcycles.
Uninsured motorist$25,000 per person and $50,000 per accident, included unless rejected in writing
Underinsured motoristNot required. Insurers must make it available if you ask.
Collision and comprehensiveNot required by state law. A lender or lessor may require them.

These minimums come from KRS 304.39-110, and the Kentucky Transportation Cabinet (KYTC) lists them on its mandatory insurance page, which also says you can’t drive a vehicle in Kentucky until it’s insured. Older sources may show 25/50/10. The property damage minimum rose to $25,000 for policies issued or renewed on or after January 1, 2018. RateFrog’s guide to liability limits explains how these numbers work.

Senate floor amendments to House Bill 627 in 2026 would have raised the limits to 50/100/50 by 2031, but they were withdrawn and the bill passed without them.

Personal Injury Protection in Kentucky

Kentucky’s law calls PIP “basic reparation benefits.” Under KRS 304.39-020, it pays up to $10,000 per person for economic losses from a crash, such as medical bills, lost wages and replacement services, whoever was at fault.

House Bill 627 raised two parts of that coverage for PIP issued or renewed on or after July 15, 2026:

  • Weekly cap: Under KRS 304.39-130, work loss, replacement services loss and survivor’s losses can’t exceed $500 a week, up from $200.
  • Funeral and burial: The amount counted as medical expense for funeral, cremation and burial rose from $1,000 to $5,000.

A policy issued before July 15, 2026 keeps the old $200 weekly cap until it renews. The Kentucky Department of Insurance (DOI) no-fault brochure from January 2021 still shows $200.

Under Kentucky’s priority rule, the PIP on the vehicle you were riding in applies first. If you were hit as a pedestrian, the PIP on the vehicle that struck you applies. If that vehicle had no coverage, a policy under which you’re an insured applies.

The DOI’s filing checklist says insurers have to offer PIP deductibles of $250, $500 and $1,000, and added PIP, on request. RateFrog’s guide to PIP and no-fault insurance explains how PIP works in other states.

The Lawsuit Threshold

In exchange for PIP, KRS 304.39-060 limits lawsuits over crash injuries. You can sue an at-fault driver for pain and suffering only if your medical expenses are more than $1,000 or the injury involves one of these:

  • A broken bone
  • Permanent disfigurement
  • A permanent injury, within reasonable medical probability
  • Permanent loss of a bodily function, or death

Rejecting the Tort Limitation

To keep your full right to sue, you reject the tort limitation on the DOI’s Kentucky No-Fault Rejection Form, filed with the department before an accident. Under 806 KAR 39:030, you can mail the form or submit it online, and you revoke a rejection with the same form.

There’s a tradeoff. According to the DOI’s no-fault brochure, rejecting means you lose basic PIP benefits unless you buy them back, and your liability premium may be higher.

Uninsured and Underinsured Motorist Coverage in Kentucky

Under KRS 304.20-020, every liability policy includes uninsured motorist (UM) coverage at $25,000 per person and $50,000 per accident unless a named insured rejects it in writing. One named insured’s rejection applies to everyone on the policy. After a rejection, the insurer doesn’t have to add UM back at renewal unless a named insured asks for it in writing.

Underinsured motorist (UIM) coverage is different. Under KRS 304.39-320, insurers have to make it available if you ask, but it isn’t included automatically. UIM pays when the at-fault driver’s limits are too low to cover your damages, up to your UIM limit. The insurer gets credit for the at-fault driver’s limits. RateFrog’s guide to uninsured and underinsured motorist coverage explains how these coverages work.

Proof of Insurance in Kentucky

Under KRS 304.39-117, your insurance card counts as evidence of coverage, and you have to show it to an officer who asks. You can show it on a phone or other device. The officer may view only the card image, and you’re responsible if the device is damaged.

Until January 1, 2027, if the state’s database doesn’t list your vehicle yet, an officer may accept a card for coverage that took effect no more than 45 days earlier. From January 1, 2027, the updated law cuts that window to 7 days for personal vehicles. RateFrog’s guide to getting proof of insurance fast can help if you need a card right away.

How Kentucky Checks Your Coverage

For now, KRS 304.39-087 requires insurers to send the state a list of the vehicle identification numbers (VINs) of insured personal vehicles each month. Under KRS 186A.040, if your VIN is missing for two reporting months in a row, the state notifies you. It then revokes the registration unless you show proof to the county clerk or KYTC within 14 days after the date the insurance became invalid.

KYTC’s mandatory insurance page still mentions a 90-day period, but the statute sets 14 days, so don’t count on the longer window. Respond as soon as a notice arrives. If your insurer doesn’t report to the state, KYTC says you can bring proof to your county clerk to be checked by hand.

House Bill 390 replaces the monthly lists with an online verification system on January 1, 2027. After that, a notice goes out if a personal vehicle’s VIN is missing from the system for seven days in a row, and county clerks won’t register, renew or transfer a personal vehicle the system doesn’t show as insured unless you bring an insurance card for coverage that took effect no more than seven days earlier.

A registration revoked for no proof of insurance can be reinstated with proof and a $40 reinstatement fee paid to the county clerk under KRS 186.040.

Penalties for Driving Without Insurance in Kentucky

Under KRS 304.99-060, penalties apply to an owner who doesn’t keep insurance and to anyone who drives an uninsured vehicle. An owner who is driving can face both.

First Offense

A first offense brings a fine of $500 to $1,000, up to 90 days in jail, or both. For an owner, the vehicle’s registration is also revoked and the plates are suspended. A court may reduce or suspend the penalty if you show proof of insurance.

Second and Later Offenses

For a second or later offense within five years, the penalty is up to 180 days in jail, a fine of $1,000 to $2,500, or both. Your driver’s license is also revoked under KRS 186.560. To get it back, KYTC’s license reinstatement page says a $40 fee may be required, and paying it alone doesn’t restore your driving privileges.

A court can reduce a second-offense penalty only if you show proof of insurance and a receipt showing you paid for at least six months of coverage. You then have to appear in court when the six months end, and dropping the policy before then is a Class B misdemeanor unless coverage stays continuous.

A Crash Without Insurance

Kentucky repealed its old rules on posting security after a crash in 1975, when no-fault took effect. The judgment rule remains. If a court judgment from a crash goes unpaid, your license and registration can be suspended, and under KRS 187.420 they stay suspended until every such judgment is stayed, satisfied or discharged. RateFrog’s guide to what happens when insurance lapses covers the broader risks.

SR-22 Filings in Kentucky

Kentucky’s statutes don’t use the term SR-22, and RateFrog didn’t find a KYTC or DOI page that describes one. The closest rules are the second-offense six-month receipt and the suspension for an unpaid crash judgment, both covered above. If your license is suspended, ask KYTC Driver Licensing exactly what proof it needs. RateFrog’s SR-22 guide explains how these filings work in states that use them.

If You Can’t Find Coverage

The Kentucky Automobile Insurance Plan covers eligible drivers who can’t get insurance in the regular market. According to AIPSO, you apply through an agent. AIPSO’s private passenger line is 800-827-6370. If an insurer cancels your policy for a reason other than nonpayment or doesn’t renew it, Kentucky law requires the notice to tell you that you may be eligible for the plan.

How Kentucky Insurers Set Rates

The DOI’s rates guide says insurers look at your vehicle, driving record, household drivers’ ages, where you live and credit-based insurance scores.

Kentucky puts some limits on how insurers use credit and coverage history:

  • Under KRS 304.20-042, an insurer can’t refuse to insure you, cancel or nonrenew solely because of your credit history or lack of one.
  • Under KRS 304.13-075, insurers have to grant reasonable exceptions, on written request, if your credit was hurt by events such as a serious illness, divorce or identity theft.
  • Under KRS 304.20-041, your last insurer can’t refuse a policy or add a surcharge because of a coverage gap for a qualifying reason, such as not owning a car, if you had no Kentucky traffic convictions during the gap and reapply within 24 months.

Under KRS 304.13-063, drivers 55 and older who complete an approved accident prevention course get a premium reduction for at least three and up to five years. The law doesn’t set a percentage, and you retake the course every five years. Courses need Transportation Cabinet approval under 601 KAR 13:040, and self-taught or court-ordered courses don’t count. RateFrog’s guide to the factors that affect car insurance rates covers the rest.

Cancellation and Nonrenewal Rules

Once a policy has been in effect for 60 days, KRS 304.20-040 allows an insurer to cancel only for one of these reasons:

  • Nonpayment of premium
  • A suspended or revoked license or registration for the named insured or another driver who lives in the household or regularly drives the car
  • Fraud or a material misrepresentation
  • Willful acts by the named insured that increase the hazard
  • A finding by the commissioner that continuing the policy would violate the law or put the insurer in a hazardous condition

The insurer has to give at least 14 days’ notice for nonpayment and 20 days for other reasons. To nonrenew, it has to give at least 75 days’ notice, and if it doesn’t, the policy is treated as renewed on the same terms until you get other coverage or agree otherwise.

An insurer can’t cancel or nonrenew solely because of your credit history, age, sex, marital status, race or a disability. If you think a cancellation or nonrenewal is wrong, you can ask the commissioner in writing within seven days to review it. These rules apply to private passenger policies for an individual or a married couple, and not to policies through the state insurance plan.

Don’t count on extra time to pay. The DOI’s rates guide says auto insurance has no grace period for premium payments. RateFrog’s guide to car insurance grace periods explains what usually happens when a payment is late.

Is Kentucky’s Minimum Coverage Enough?

A 25/50/25 policy can run out quickly in a serious crash, and $25,000 of property damage coverage may not replace a newer car. If a claim goes past your limits, you could owe the rest. A serious injury can also cost more than PIP’s $10,000.

Kentucky policies don’t include UIM unless you ask for it, and a driver carrying only the minimum may not have enough to pay for your injuries. If you’re weighing a tort rejection, compare the right to sue against losing basic PIP and possibly paying more for liability. RateFrog’s guide to how much car insurance you need can help you choose, and you can compare car insurance quotes at several coverage levels.

Where to Get Help

For cancellations, claims, PIP and no-fault rejection forms, call the Kentucky Department of Insurance at 800-595-6053 (toll-free in Kentucky) or 502-564-3630, or file a written complaint through its complaint page. For registration revocations, contact your county clerk. For license suspensions and reinstatement, contact KYTC.

Frequently Asked Questions

Is Kentucky a No-Fault State?

Yes, a choice no-fault state. PIP pays up to $10,000 of economic losses regardless of fault, and you can keep your full right to sue by filing a rejection form before an accident.

Is Uninsured Motorist Coverage Required in Kentucky?

It’s included in every liability policy unless a named insured rejects it in writing. Underinsured motorist coverage isn’t included automatically, but insurers have to offer it if you ask.

How Much Does PIP Pay for Lost Wages in Kentucky?

Up to $500 a week for PIP issued or renewed on or after July 15, 2026. Policies issued before that date keep the old $200 cap until they renew. All PIP benefits share the $10,000 total.

What Is the Fine for Driving Without Insurance in Kentucky?

$500 to $1,000 for a first offense, up to 90 days in jail, or both, and the owner’s registration is revoked. A second offense within five years brings a fine of $1,000 to $2,500, up to 180 days in jail, or both, and a revoked license.

Sources

James Shaffer

James Shaffer writes and edits RateFrog's car insurance guides. He has worked in the auto insurance industry since 2012 and focuses on how coverage, claims, discounts and insurer rules work in practice. His analysis has been featured in NBC News, CNN and The Washington Post, and he holds a degree from Bentley University.

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