Published by Prominent Insurance Services on February 15, 2026 in Auto Insurance.
Delaware requires minimum auto liability limits of 25/50/10, but is that enough? Learn what coverage you actually need and how to save on your Delaware auto insurance.
Understanding Delaware's auto insurance requirements is the first step toward protecting yourself, your passengers, and your finances on the road. Whether you are a new driver getting your first policy or a longtime Delaware resident looking to reevaluate your coverage, this guide explains exactly what the state requires, what most drivers actually need, and how an independent agency can help you find the best rate.
Delaware law requires all registered vehicles to carry minimum liability insurance. The state's minimum limits are commonly referred to as 25/50/10, which breaks down as follows:
These limits represent the maximum your insurance company will pay if you cause an accident. If the damages exceed your policy limits, you are personally responsible for the difference. For example, if you cause an accident resulting in $75,000 in medical bills for the other driver, your 25/50/10 policy would only cover $25,000, leaving you potentially liable for the remaining $50,000.
Delaware also requires Personal Injury Protection (PIP) coverage with a minimum of $15,000 per person and $30,000 per accident. PIP covers your own medical expenses regardless of who caused the accident.
While 25/50/10 satisfies the legal requirement, most insurance professionals — including our advisors at Prominent Insurance Services — recommend significantly higher limits. Here is why:
Medical costs have increased dramatically. The average hospital stay in the United States costs over $13,000, and a serious auto accident involving surgery, rehabilitation, and extended care can easily exceed $100,000. If you carry only $25,000 per person in liability coverage, you could be personally sued for the difference.
Property values have risen. A $10,000 property damage limit was set decades ago when cars cost far less. Today, the average new car costs over $48,000. If you rear-end a luxury vehicle or cause a multi-car accident, $10,000 in property damage coverage will not come close to covering the repairs.
Your personal assets are at risk. If a court judgment exceeds your policy limits, your savings, home equity, and future wages could be at risk. Higher liability limits and an umbrella policy protect your personal assets from lawsuits.
For most Delaware drivers, we recommend at minimum 100/300/100 liability limits — meaning $100,000 per person, $300,000 per accident for bodily injury, and $100,000 for property damage. This provides a much stronger safety net than the state minimum.
Beyond liability, consider these additional coverages:
Comprehensive coverage protects your vehicle from non-collision events like theft, vandalism, hail, flooding, and animal strikes. This is especially important for Delaware residents near the coast where storm damage is common.
Collision coverage pays to repair or replace your vehicle after an accident, regardless of who was at fault. If your car is financed or leased, your lender will almost certainly require both comprehensive and collision coverage.
Uninsured/underinsured motorist coverage (UM/UIM) protects you if you are hit by a driver who has no insurance or insufficient insurance. Delaware has an estimated uninsured motorist rate of around 10%, which means roughly 1 in 10 drivers on the road may not have adequate coverage.
Medical payments coverage supplements your PIP coverage and health insurance to cover medical expenses resulting from an auto accident.
Insurance rates in Delaware vary significantly based on your driving record, credit history, vehicle type, and where you live. Drivers in Wilmington typically pay higher rates than drivers in Dover or the beach communities due to higher traffic density and claim frequency. Here are practical ways to lower your premium:
Bundle your policies. Combining auto and homeowners (or renters) insurance with the same carrier typically saves 10 to 25 percent on your combined premiums.
Maintain a clean driving record. Accidents and traffic violations can increase your rates for three to five years. Some carriers offer accident forgiveness programs that prevent your first at-fault accident from raising your rate.
Ask about discounts. Most carriers offer discounts for good students, military personnel, senior drivers who complete defensive driving courses, vehicles with anti-theft devices, and paying your premium in full rather than monthly installments.
Compare carriers regularly. Insurance rates change frequently. A carrier that offered you the best rate three years ago may not be the most competitive today. As an independent agency, Prominent Insurance Services compares rates from carriers like Progressive, Liberty Mutual, National General, Bristol West, and Encompass to find you the best deal every time.
Raise your deductible. Increasing your comprehensive and collision deductible from $500 to $1,000 can reduce your premium by 15 to 30 percent. Just make sure you can afford the higher deductible if you need to file a claim.
Teen drivers are the most expensive to insure due to their lack of experience. Adding a teen to your policy is usually cheaper than getting them a separate policy. Good student discounts (typically a B average or better) can help offset the cost.
SR-22 filings are required by Delaware if your license has been suspended or revoked due to a DUI, driving without insurance, or accumulating too many points. An SR-22 is not a type of insurance — it is a certificate filed with the state proving you carry the required minimum coverage. We help drivers find affordable SR-22 policies and get back on the road.
Rideshare drivers working for services like Uber or Lyft need to understand the coverage gaps between their personal auto policy and the rideshare company's commercial policy. Many personal auto policies exclude coverage during rideshare use. We can help you find a policy that covers you in all phases of rideshare driving.
Prominent Insurance Services is an independent agency based in Wilmington, Delaware, serving drivers across all three Delaware counties — New Castle, Kent, and Sussex. We compare auto insurance rates from over 20 carriers to find you the right coverage at the best price. Call us at 302-351-3368 or visit our strategy session page to get started with a free, no-obligation proposal.