Massachusetts Increases Compulsory Auto Insurance Limits: A Milestone for Consumers and Agents
Exciting news has emerged from the Massachusetts State House! Governor Maura Healey recently signed into law H. 5111 – An Act relative to motor vehicle insurance, a monumental piece of legislation spearheaded by the Massachusetts Association of Insurance Agents (MAIA). This marks the first time in nearly 40 years that Massachusetts has increased its compulsory bodily injury (BI) insurance limits, along with the first increase in compulsory property damage (PD) limits since 1975.
What’s Changing and When?
Starting July 1, 2025, Massachusetts drivers will see the following changes:
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Compulsory Bodily Injury Limits: Increased to $25,000 per person/$50,000 per accident.
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Compulsory Property Damage Limit: Increased to $30,000.
These updates reflect the growing need for higher coverage as healthcare costs skyrocket and vehicles become increasingly advanced and expensive.
Why This Matters
The existing liability limits, unchanged for decades, have become outdated in the face of rising medical bills and repair costs. This legislation is a significant step forward in offering better protection for consumers, helping to shield them from the financial burden of accidents. With these increases, insurance policies will better align with the actual costs of accidents, ensuring that customers—your customers—are adequately protected.
A Victory Decades in the Making
This legislative victory is a testament to the tireless efforts of MAIA and its advocacy team at Ventry Associates. For nearly 20 years, similar bills aimed at increasing compulsory limits have struggled to gain traction. However, by prioritizing this legislation during the 2023-2024 session, MAIA successfully rallied broad-based political support across Massachusetts to achieve this long-overdue change.
Special thanks go to:
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Lead Bill Sponsors: Representative Michael Finn and Senator Brendan Crighton.
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Financial Services Committee Co-Chairs: Representative Jamie Murphy and Senator Paul Feeney.
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Ways & Means Chairs: Representative Aaron Michlewitz and Senator Michael Rodrigues.
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Leadership Champions: House Speaker Ron Mariano, Senate President Karen Spilka, and Governor Maura Healey.
A particular shout-out to Senators Rodrigues and Feeney, who played pivotal roles in navigating this legislation through the Senate version of the Economic Development bill and into the final conference committee report that reached the Governor’s desk.
Building on Past Successes
This achievement is the latest in a series of wins for independent insurance agents in Massachusetts. From adding agent representation to the CAR governing board to ensuring fair and accurate quotes from online and direct writers, MAIA continues to champion the needs of independent agents. These efforts reinforce the strength of the independent agency system and the importance of agents in the Commonwealth’s insurance landscape.
Looking Ahead
The passage of H. 5111 is more than just a legislative win—it’s a victory for the thousands of Massachusetts consumers who rely on independent insurance agents to guide them through the complexities of auto insurance. By increasing compulsory limits, this legislation ensures better financial protection for everyone on the road.
At Wise Insurance Agency, we’re proud to be part of this forward-thinking industry that continually works to improve outcomes for both agents and policyholders. Contact us today at 508-722-7100 or email us at to learn how these changes might affect your coverage. We’re here to keep you informed, protected, and prepared for the road ahead.
Together, we’re driving Massachusetts toward a safer and more secure future.
