Arkansas Car Insurance Basics

By Javier Marín, Editor·Last reviewed September 2026·How we check this

Arkansas requires every registered passenger vehicle to carry liability insurance and to make active uninsured/underinsured motorist coverage available at the same limits. Coverage is verified electronically through the state's Online Vehicle Insurance (OVS) verification system, and a lapse can lead to registration suspension before any law-enforcement contact ever happens.

The 25/50/25 minimum

The Arkansas legal minimum liability limits are 25/50/25:

$25,000 bodily injury liability per person.
$50,000 bodily injury liability per accident.
$25,000 property damage liability per accident.

These are state-mandated floors, not target coverage. Most insurance professionals recommend significantly higher limits given typical medical costs and modern vehicle values; many Arkansans carry 100/300/100 or higher with an umbrella policy on top.

Mandatory UM/UIM offer

Every Arkansas auto policy must offer uninsured motorist (UM) and underinsured motorist (UIM) coverage at limits at least equal to the liability limits. The buyer can decline UM and UIM, but the rejection has to be in writing. If the rejection is missing or unsigned, the carrier owes UM/UIM coverage at the liability limits. UM/UIM protects you when the at-fault driver has no insurance or insufficient insurance, which matters in Arkansas because the state's uninsured-motorist rate is meaningfully higher than the national average.

Personal Injury Protection and MedPay

Arkansas is not a no-fault state, but the state requires every auto policy to offer medical payments coverage and income disability coverage:

$5,000 medical and hospital benefits.
$140 weekly income disability benefits (up to a per-person ceiling).
$5,000 accidental death benefit.

The buyer can reject these benefits in writing. Most carriers offer higher MedPay limits as an upgrade, which can pay medical bills regardless of fault and stacks alongside health insurance.

The OVS verification system

Arkansas's Online Vehicle Insurance verification system requires every authorized auto carrier to report active policies electronically to the DFA. The DFA cross-checks active vehicle registrations against the OVS database; vehicles flagged as uninsured are notified and risk registration suspension if not corrected within the notice period. Drivers in OVS-suspended status cannot renew, transfer, or replace plates until the lapse is resolved.

Proof of insurance

Arkansas accepts as proof of insurance:

The standard insurance ID card from the carrier (paper or electronic on a smartphone).
The declarations page of the policy.
A binder letter for a newly written policy.
An SR-22 filing when required.

You're required to carry proof in the vehicle and show it on demand to law enforcement and at any DFA registration or title transfer transaction.

SR-22 financial responsibility

An SR-22 is a special filing the carrier sends directly to the Arkansas DFA, certifying that the driver maintains active liability coverage at or above the state minimum. SR-22 is required after:

Any DWI conviction.
An implied-consent refusal.
Driving while suspended.
An at-fault accident while uninsured.
Repeated no-insurance citations.

The SR-22 stays in force for at least three years from the reinstatement date. If the policy lapses for any reason during that window, the carrier is obligated to notify the DFA, and the driver's license is re-suspended automatically. SR-22 carriers typically charge a small filing fee (around $25) plus the higher base premium associated with being a high-risk driver.

Penalties for driving uninsured

Driving without insurance in Arkansas brings:

A first-offense fine of $50 to $250.
Possible registration suspension and license suspension.
The vehicle's plate held until insurance is shown and the reinstatement fee is paid.
Higher base premium when coverage is reinstated, often for several years.

Saving money on Arkansas auto insurance

Common discounts available from most Arkansas carriers include multi-vehicle, multi-policy (auto and home), good-driver, defensive-driving course, paid-in-full, paperless billing, and good-student for households with younger drivers. Maintaining a clean three-year driving record generally has the largest single effect on premium — carriers reward clean records with their best rate tiers.