Car insurance in Tennessee (25/50/25)
- Minimum car insuranceTennessee requires at least $25,000 per person and $50,000 per accident for bodily injury and $25,000 for property damage (TCA 55-12-102). Uninsured motorist coverage must be included in every policy unless the named insured rejects it or selects lower limits in writing; PIP is not required. Source
- Fault systemTennessee is an at-fault (tort) state: the driver who causes a crash, through their liability insurance, pays for the other party's injuries and damage. Source
Business insurance rules in Tennessee
- Workers’ compensationMost Tennessee employers must carry workers' compensation once they have five or more full- or part-time employees. Construction and coal mining employers must carry it with even one employee; eligible construction business owners may exempt themselves but must still cover their employees. Source
- Contractor licensingThe Tennessee Board for Licensing Contractors requires a contractor's license for projects of $25,000 or more, and applicants must carry general liability and workers' compensation insurance unless exempt from workers' comp. A separate home improvement license is required for residential remodeling of $3,000 to $24,999 in nine counties: Bradley, Davidson, Hamilton, Haywood, Knox, Marion, Robertson, Rutherford and Shelby. Source
Disasters, floods, hail, tornadoes and earthquakes in Tennessee
| Measure | Tennessee | Rank among the states | Detail |
|---|---|---|---|
| Federal major disaster declarations since 2000 | 48 | #5 (tied) of 51 | Most often for severe storm (35), severe ice storm (4), tornado (3). Shelby County has been in 18 of them. |
| National Flood Insurance Program claims, 2005–2025 | 10,913 | #13 of 51 | $419.5 million paid; 33% of claims with a known flood zone were outside FEMA’s high-risk zones. |
| Homes in high-risk flood zones with a federal flood policy | 25% | #25 of 50 | 10,286 policies for 41,905 homes in the counties FEMA can measure; US: 40%. |
| Hail reports, 2016–2025 | 1,585 | #16 of 51 | 81 of them 2 inches or larger. Largest stone 4 inches, Marshall County, July 2022. |
| Tornadoes, 2016–2025 | 308 | #19 of 51 | 46 rated EF2 or stronger; 1,479 recorded since 1950. |
| Earthquakes of magnitude 4.0+, 2000–2025 | 3 | #20 of 51 | Largest: magnitude 4.4, 12 km NNE of Decatur, Tennessee, December 12, 2018. |
From the public FEMA, NOAA, Storm Prediction Center, USGS and FMCSA records behind each linked report; ranks count all 50 states and Washington, DC unless noted.
Look up the storm history of any county in Tennessee.
Worth knowing in Tennessee
Tennessee's workers' comp threshold depends on the industry: five employees for most businesses, but just one for construction and coal mining.
Tennessee’s insurance regulator
Insurance in Tennessee is regulated by the Tennessee Department of Commerce & Insurance, which handles consumer complaints and licenses insurers and agents.
Sam Alishahi holds a nonresident insurance producer license in Tennessee (NPN 21022298), so requests from Tennessee are handled by him directly.
Common questions
What is the minimum car insurance in Tennessee?
Tennessee requires at least $25,000 per person and $50,000 per accident for bodily injury and $25,000 for property damage (TCA 55-12-102). Uninsured motorist coverage must be included in every policy unless the named insured rejects it or selects lower limits in writing; PIP is not required.
Is Tennessee a no-fault state?
Tennessee is an at-fault (tort) state: the driver who causes a crash, through their liability insurance, pays for the other party's injuries and damage.
Do employers in Tennessee need workers’ comp?
Most Tennessee employers must carry workers' compensation once they have five or more full- or part-time employees. Construction and coal mining employers must carry it with even one employee; eligible construction business owners may exempt themselves but must still cover their employees.
Sources
- Tennessee: Minimum car insurance
- Tennessee: Fault system
- Tennessee: Workers’ compensation
- Tennessee: Contractor licensing
- Tennessee: insurance regulator
General information as of October 2026, not legal advice; confirm current rules with the agency.