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Every new year brings a series of changes. For Utah in 2025, one of those pertains to auto insurance minimum liability requirements.
On Jan. 1, House Bill 113 took effect. It is a legislative effort designed to provide drivers with adequate coverage from their insurance agency.
Here's what that change means, and what you'll need to know:
Minimum liability limits — then vs. now
Commonly referred to as the 25/65/15 standard in the insurance industry, Utah's previous law required liability insurance to cover minimum limits of $25,000 for bodily injury or death of a person, $65,000 for bodily injury or death per accident and $15,000 for property damage per accident.
Today, minimum insurance rate requirements have been updated to 30/65/25, providing Utah drivers with:
- $30,000 or more for bodily injury or death per person.
- $65,000 or more for bodily injury or death per accident.
- $25,000 or more for property damage per accident.
"What I appreciate about this bill is that it's improving basic coverage and allowing it to better care for the needs of the modern Utah driver," said Mark Turner, president of Goldenwest Insurance Services. "As medical and vehicle prices have increased, we've seen the people we provide insurance to require additional funds. This act will bolster their coverage, and help us deliver the services they need."
How to take advantage of the policy update
If a driver already has auto insurance, no immediate actions are required to update their rates to 30/65/25. All policies with limits below the new minimums will automatically adjust during the first renewal of 2025.
As limited coverage is bolstered, individuals may notice an increase in their insurance premiums. Agencies recommend that policy holders check with their insurance representatives to review their current liability limits and ask questions.
What about insurance for new car purchases?
When financing a vehicle, lenders will typically require comprehensive and collision insurance be purchased along with liability coverage. Many lenders also recommend GAP insurance, which covers the difference between a car's value and the remaining loan balance if a vehicle is totaled.
Some financial institutions, such as Goldenwest Credit Union, provide borrowers with a convenient one-stop-shop experience — allowing a driver to finance and purchase insurance with the same institution.
"As a business that's dedicated to delivering an exceptional customer experience, we're always looking to make car buying easier," said Jared Price, variable sales director at the Young Automotive Group. "Being able to offer customers packages from Goldenwest Credit Union has allowed us to provide people with great insurance rates and quality coverage on their new vehicle."
Costs and potential alternatives
According to Goldenwest Insurance Services, a variety of factors determine the price of auto insurance — some of which include driving record, claims history, credit score, age and location as well as the make and model of a vehicle.
Though $10,000 has been added to protect drivers from additional liability exposure, some may find it beneficial to increase their coverage due to their personal situation. Goldenwest Insurance Services recommends plans such as 100/300/100 for individuals in this situation, which provides:
- $100,000 for bodily injury per person.
- $300,000 for bodily injury per accident.
- $100,000 for property damage per accident.
As changes are made for 2025, some policy holders may look to alter their coverage to better fit their needs. According to Goldenwest Insurance Services, they are not only able to provide individuals with insurance and financial resources, but may be able to save them up to 35% on their premiums.
"As a company with roots in Utah, we understand the needs of people in this area better than a national provider," said Turner. "We have a better idea of what's happening with legislation and general trends, and we work to make that an advantage for our members and customers."
Visit the link to talk to a Goldenwest Insurance Services insurance professional about auto coverage.
