Commercial Auto Insurance Minimum Requirements in Utah

Determine the Required Amount of Coverage

When shopping for commercial insurance, you will need to know the following:

• Who owns the vehicle(s)

• How much the vehicle(s) weighs

• How the vehicle(s) is used

• Required insurance minimums

Utah requires two types of auto insurance: Liability and Personal Injury Protection (PIP).

Liability Insurance

The state requires the following amounts of liability insurance:

• $25,000 per person for bodily injury

• $65,000 per accident for bodily injury

• $15,000 per accident for property damage

Personal Injury Protection (PIP)

Because Utah has a no-fault law, you also need at least $3,000 in PIP coverage. Unlike liability insurance, which covers the other person in an accident, PIP pays your medical expenses if you’re injured.

Remember that these are only the very minimum insurance requirements. You can discuss your requirements with the DMV and the Insurance Division at (801) 297-7780.

Purchase a Commercial Policy

You have plenty of options when shopping for a commercial policy. Many private vehicle insurance providers also offer commercial vehicle insurance, and there are some companies that deal exclusively in commercial coverage. As with any insurance, you might want to consider purchasing more coverage than the minimum required by law.

Proof of Insurance and Financial Responsibility

Your insurer will send you a "proof of insurance" card, which you should keep in the vehicle at all times. You will need to show it to any law enforcement officer who asks to see it.

The state also compares the list of registered vehicles against a list of insured vehicles. If your vehicle is found to be uninsured, you will be asked to prove financial responsibility or face penalties.

Penalties for Failure to Maintain Financial Responsibility

If you have no proof of insurance or fail to provide it when requested, you will be reported to the DMV and law enforcement. Driving an uninsured vehicle is a class B misdemeanor and carries a minimum fine of $400 for a first offense.

In addition, you face suspension of your vehicle registration and your driver’s license, as well as vehicle impoundment. If this happens, you will not be able to reinstate them until you can show proof of insurance and pay a reinstatement fee.

All penalties fall on the registered owner of the vehicle. An employee driving a company-owned vehicle would not lose his license.