Arizona Auto Insurance

Arizona uses a Tort insurance system. If you have been found at-fault in an accident, you and your insurance company must cover the damages.

Minimum Liability Requirements in Arizona

As of April 2026, Arizona requires drivers to carry minimum liability coverage of 25/50/15 — at least $25,000 in bodily injury liability per injured person, up to $50,000 per accident, and $15,000 in property damage liability.

Source: CarInsurance.com, "US State Minimum Liability Car Insurance Requirements," updated April 15, 2026.

Average Car Insurance Premiums in Arizona

Drivers in Arizona pay an average of $2,550 a year for full-coverage car insurance — 13% below the national average of $2,922 a year.

Source: Experian, "Car Insurance Average Costs by State," published September 9, 2026.

Use of cellphones when driving

Conducting text-based communication while driving a vehicle in Arizona is prohibited. It is also forbidden for school bus drivers to use mobile phones altogether. No other bans are in place, but authorities strongly recommend using a hands-free device or, better yet, pulling over when answering or making a phone call.

Teenage driving

Arizona uses the Graduated Driver Licensing (GDL) system to allow teenagers to operate a car while still minimizing their risk of running into dangerous situations. You have to be 15 and a half years to be eligible for a restricted license. Restrictions are in line with the GDL recommendations:

• teenagers under 18 may not drive between 12am and 5am, unless accompanied by a parent, legal guardian or licensed driver over 21 having the parents’ written permission;
• teenagers under 18 may only drive unattended if they are on their way to/from school or work, a religious event or in case of an emergency;
• teenagers under 18 may not have other passengers below 18 in their car (except for siblings), unless accompanied by a parent or legal guardian.

Penalties for driving uninsured

If this is your first or second violation, you are subject to a fine of up to $1,000. Arizona has recently adopted the “three strikes law” – should you be caught without insurance for three times within three years, you will be subject to much harsher conditions in order to get your driving privileges reinstated. SR22 filing can and will most likely be one of the requirements.

AutoInsuranceQuery editorial team. Last reviewed: September 16, 2026.