Insurance Claim Rights in Vermont
Vermont is an at-fault state with modified comparative fault and a 50% bar. The state requires mandatory uninsured/underinsured motorist coverage that matches your liability limits by default. Vermont has a 3-year statute of limitations for both personal injury and property damage claims. The state's low property damage minimum of $10,000 may be insufficient for many accidents.
25/50/10
Min. Liability
3 yrs
PI Deadline
3 yrs
PD Deadline
Yes
Diminished Value
Fault System
How Vermont's At-Fault (Tort) System Works
Vermont is an at-fault (tort) state. This means the driver who caused the accident is financially responsible for the other party's damages. After an accident, you file a claim against the at-fault driver's insurance company. If the claim is denied or undervalued, you have the right to file a lawsuit to recover your damages.
Deadlines
Statute of Limitations in Vermont
Personal Injury
3 Years
You have 3 years from the date of the accident to file a personal injury lawsuit in Vermont. Missing this deadline permanently bars your right to seek compensation for medical bills, lost wages, and pain and suffering.
Property Damage
3 Years
For property damage claims (vehicle repairs, total loss, personal property), Vermont allows 3 years to file a lawsuit. This includes diminished value claims if applicable. Report damage to your insurer as soon as possible: report to insurer within 30 days; 3-year lawsuit deadline.
Coverage Requirements
Minimum Auto Insurance in Vermont
Vermont requires all drivers to carry at least 25/50/10 in liability coverage. These numbers represent the minimum bodily injury per person / bodily injury per accident / property damage limits in thousands of dollars. While these are the legal minimums, higher coverage is strongly recommended.
Bodily Injury / Person
$25,000
Maximum per injured person
Bodily Injury / Accident
$50,000
Maximum per accident total
Property Damage
$10,000
Maximum for property damage
Diminished Value
Diminished Value Claims in Vermont
Vermont Allows Diminished Value Claims
After an accident in Vermont, your vehicle may lose market value even after high-quality repairs — this is called "diminished value." Vermont allows you to file a diminished value claim against the at-fault driver's insurance to recover the difference between your vehicle's pre-accident and post-repair market value. The amount recoverable depends on the vehicle's age, mileage, damage severity, and repair quality.
Calculate your diminished valueKey Laws
Important Insurance Laws in Vermont
Vermont follows a modified comparative fault rule with a 50% bar (12 V.S.A. § 1036).
Uninsured/underinsured motorist coverage is mandatory in Vermont and must equal your liability limits unless you choose lower amounts.
Vermont requires insurers to make a claims decision within 30 business days of receiving all required documentation.
Resources
Vermont Department of Insurance
If you have a complaint about your insurance company or need help with a claim dispute in Vermont, contact the state Department of Insurance. They regulate insurance companies operating in Vermont and can assist with claim disputes, bad faith complaints, and coverage questions.
FAQ
Frequently Asked Questions About Vermont Insurance Claims
Is uninsured motorist coverage required in Vermont?
Yes, Vermont requires uninsured and underinsured motorist coverage. By default, your UM/UIM coverage must equal your liability limits. You can choose lower amounts, but the coverage cannot be rejected entirely.
How does Vermont's comparative fault system work?
Vermont uses modified comparative fault with a 50% bar. If you are 50% or more at fault, you cannot recover any damages. If you are less than 50% at fault, your recovery is reduced proportionally by your fault percentage.
What is Vermont's statute of limitations?
Vermont has a 3-year statute of limitations for both personal injury and property damage claims from a car accident. The clock starts running from the date of the accident.
Start Your Vermont Claim with InsurifyAI
InsurifyAI knows Vermont's insurance laws and generates state-specific demand letters, settlement estimates, and claim strategies tailored to VT's at-fault (tort) system.
No credit card required. Free to start.