Pennsylvania Bill to Raise Property Damage Coverage to $25K on Auto Policies

In June 2025, Pennsylvania lawmakers introduced House Bill 1666, calling for a significant increase in the minimum required property damage coverage—from $5,000 to $25,000 per accident. This change would apply to all new or renewed policies within 60 days of enactment.

What the Bill Proposes

• Minimum property damage liability to increase to $25,000
• Applies to all auto policies issued or renewed after the effective date
• No need for new signatures on tort election forms or notice documents

Impact on Drivers & Insurers

Drivers may pay modestly higher premiums, but gain significantly improved coverage in the event of at-fault collisions. Insurers must update policy documentation and pricing models accordingly.

Current Status

The bill is in the Pennsylvania House and Senate and could take effect roughly 60 days post-enactment. Keep an eye on PID updates for final implementation guidance.

Why It Matters

• Protects drivers from high-cost property damage expenses
• Reduces financial risk from at-fault collisions
• Sets a higher standard for insurance adequacy across the state

Official Source

More details available via Insurance Business America.