Iowa is unique in the sense that it does not have any mandatory car insurance laws in place. However, if you are unable to show proof of financial responsibility following a car accident, your driver’s license and registration will be immediately suspended. While not required, it is a good idea to at least carry liability insurance.
Here are some ways you can establish financial responsibility for a car accident in Iowa (this isn't a complete list):
Learn more about Iowa's financial responsibility requirement in our article Iowa Auto Insurance Laws and Regulations.
UIM coverage is an added safety measure if you are in a car accident, and the other driver is (1) at fault and (2) has no (or not enough) coverage to pay for medical bills and/or property damage. Your UIM coverage fills in the gap in most situations. Learn more about uninsured and underinsured motorist coverage.
As mentioned above, if you cannot prove financial responsibility following a car accident, you will lose your drivers license and registration. It is worth noting there are a few instances where you will not be subject to those penalties, including:
Although Iowa does not require its drivers to carry specific amounts or types of car insurance, most Iowa drivers still maintain some form of coverage. However, for some, it is cost prohibitive to carry car insurance. if you have opted to drive without car insurance, you may have questions about what to do after a car accident when you don’t have insurance.