For injured victims, these higher limits mean more money is available to cover medical bills, lost wages, and other damages when someone else causes an accident. For at-fault drivers, the increased coverage provides better protection against personal liability that could threaten homes, savings, and future earnings.

However, even these new limits may prove insufficient for serious accidents. 

A single emergency room visit can easily cost $10,000 or more, and if multiple people are injured in one accident, the $100,000 per-accident limit can be exhausted quickly. This is why understanding your coverage options, including uninsured and underinsured motorist protection, is so important.

The Hidden Costs of Minimum Car Insurance Limit Coverage

A lot of North Carolina drivers carry only the state-required minimums to keep their premiums low, but this strategy can backfire catastrophically. The average cost of a traumatic brain injury can exceed $1 million over a lifetime, spinal cord injuries often require hundreds of thousands in immediate care, and even "minor" injuries like broken bones frequently generate medical bills well above $50,000.

The new law also strengthened uninsured and underinsured motorist (UM/UIM) coverage rules, which can make a big difference given approximately 1 in 8 drivers in North Carolina drives around with no insurance. When an uninsured driver causes an accident, your own UM/UIM coverage becomes your primary, if not only realistic, source of compensation.