This is one of the few states that don't require having insurance liability policy however it does require drivers to own an uninsured motorist policy. Even though its non-mandatory nature, it is highly recommended to own the proper auto liability insurance policy, this is to avoid putting you in a situation where you can't afford to pay for your financial responsibilities resulting of an accident. It is not recommended to risk your assets because of being uninsured. A bad lawsuit can make you regret you weren't insured at that time.

The state of New Hampshire requires a minimum liability coverage of::

• $25,000 per person to pay for bodily injuries or death,
• $50,000 per accident to pay for bodily injury or death, and
• $25,000 to pay for property damage.

New Hampshire's DMV can suspend your license if you are not able to take financial responsibility on the other vehicle's expenses being yourself responsible of the accident.

Drivers looking to expand their insurance coverage will also add Comprehensive, Collision and Uninsured / Underinsured motorist as most common additional auto insurance coverages.

Comprehensive coverage although not required, is recommended to be included; this coverage will take care of expenses caused by events not related to collisions. For example if your car is involved in a fire while parked or a piece of debris smashes into your vehicle on a day of bad weather. Floods and running over wildlife is also included in this coverage. Comprehensive will pay for expenses related to fixing your vehicle; however, it will not pay for medical or legal expenses.

Very similar to Comprehensive, Collision is another type of coverage aimed to fix any physical damage your car may suffer, but unlike comprehensive, collision will only pay to fix it when it was caused by any type of automobile collision. It does not matter if it was a high speed crash or a quiet bumper bending crash into a wall, garage door or light post on your driveway, this will pay for the cost of repairs needed to get your vehicle up and ready after a collision. It won't cover any medical bills.

Do not forget that auto liability insurance will pay only for the damage you cause to other persons properties, but it will not help you fix your own vehicle, therefore, it is highly recommended to protect your own property by adding previously mentioned insurance coverages.

Additional to these two coverage types, there is Uninsured/Underinsured Motorist; this insurance coverage will protect you and your passengers when the driver responsible for the accident owns too little liability coverage, and it isn't enough to take care of your bills. Uninsured will be useful when the driver held responsible does not even have a liability insurance policy and has no way to be financially responsible for your expenses. This is crucial when it comes to paying medical bills on an accident that wasn't your fault. Other situation that is covered by uninsured motorist is the commonly named hit-and-run, where the driver not only collides to your vehicle, but runs away and isn't responsible for his/her actions.