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Iowa Auto Insurance Quotes

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Driving in Iowa means navigating roads of all types, from busy city highways, to quiet rural roads where you might encounter a deer. 

Unlike many states, Iowa does not require you to have active auto insurance. What the state does require is that you show proof of financial responsibility to cover any damages. Although you can do this a few different ways, purchasing a car insurance policy may be the best – and smartest – option. 

Financial Responsibility vs. Iowa Auto Insurance

Iowa is serious about drivers being able to pay for damages they may cause. As a licensed Iowa driver, you need to provide proof of financial responsibility in one of two ways: the financial ability to pay out of pocket, or have insurance.

Surety Bonding

You may file a surety bond with the Office of Driver Services for $55,000. The state holds the money to pay for damages resulting from an accident that you cause. Since many people do not have that amount of money available to sit in the state’s vault, most opt to purchase the minimum required coverage.

Minimum Car Insurance Requirements in Iowa

Iowa has minimum requirements for automobile coverage. The least expensive requirement is Minimum Liability Coverage. Coverage is available for bodily injury, property damage liability, and options for when the other driver is uninsured. These coverage options include:

  • $20,000 for bodily injury liability for one person
  • $40,000 for bodily injury liability for more than one person
  • $15,000 for property damage liability

Some insurance companies offer added coverage for towing, roadside service, and vehicle rental while your car is under repair.

Moving to Iowa: Important Information

If you are moving to Iowa and do not already have a valid driver’s license from another state, in order to obtain an Iowa driver’s license, you must provide proof of residency to the Department of Transportation (DOT). This proof may be any of the following:

  • Valid voter registration card
  • You have children enrolled in public school
  • Proof of permanent employment in the state
  • Continuous residency in Iowa for 30 days

If you are moving to Iowa and you have a valid out-of-state license, in order to obtain a valid Iowa driver’s license, you must meet a few requirements.

1. You must take the required driving tests. If your out-of-state license is valid, you may be exempt from taking the written or road test.

2. You must forfeit your out-of-state license to the Iowa DOT.

3. You must meet all Iowa vehicle registration, title, and highway use tax requirements.

Even though tests may not be needed, it’s still a good idea to read the state driver’s manual carefully. Doing this will refresh your memory of basic driving practices, and help you learn about driving laws that are specific to Iowa.

Understanding Driving Laws in Iowa

Iowa driving laws are much like those of other states. The best way to learn the state’s laws is to visit the Iowa Department of Transportation (DOT) website and open the PDF version of the Driver’s Manual (link provided above). This book provides all the information needed to pass the knowledge portion of the exam.

Iowa has similar seat belt and cell phone laws as other states, but it pays to study these requirements before moving to the state and risking a costly violation.

Frequently Asked Questions About Iowa Auto Insurance

Given the rules pertaining to financial responsibility, many new drivers to the state have questions about what is required and what they need to do.

Does Iowa require auto insurance for all drivers?

No, as long as the owner has the vehicle insured and the driver is properly licensed.

What if you don’t have auto insurance?

Iowa allows drivers to pay a surety bond to cover any driver caused damages.

What if you are at fault in an accident without insurance or a surety bond in place?

If you are uninsured and do not have a surety bond, you will be held financially responsible for damages you cause to both people and property. This often results in a costly lawsuit against you.

How to Get Great Rates on Iowa Auto Insurance

Finding an auto insurance quote can seem overwhelming – but helps you find the best car insurance policy at the best price. Every year, we match 15 million consumers to the nation’s biggest auto insurance companies, including State Farm, Allstate and Liberty Mutual. connects you with local and national insurance companies that give you free car insurance estimates by phone or email within minutes. By comparing multiple quotes, you can be sure that you’re getting the best price for car insurance.

Iowa Auto Insurance Resources

We offer more than just awesome IA car insurance quotes. Here are a few online resources to help you learn more about Iowa insurance.

Iowa Insurance Laws

Information on Iowa insurance laws and regulations

Iowa Department of Transportation Motor Vehicle Division

Offering online information and accident reporting for Iowa drivers and vehicle owners Auto Rate Methodology

Rates are based on one vehicle and one driver who has state minimum coverage with $500 deductibles. The hypothetical driver is 35 years old, female or male, employed, a college graduate, and has good credit. She has no traffic violations, claims, or lapse in coverage. The vehicle is assumed to be a sedan that is garaged on premises, used primarily for commuting, and driven 16,000 miles per year. Rates include commonly available carrier discounts and are estimates and not guaranteed.

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