Understanding New Hampshire Law on Auto Insurance Requirements for RSA Holders

What Is an RSA and Why It Matters in New Hampshire

An RSA, or Real Estate Settlement Procedures Act, is a federal law that protects homebuyers during real estate transactions. While it primarily governs mortgage disclosures, many New Hampshire drivers mistakenly believe RSA has a direct link to auto insurance. In reality, the two are unrelated; the state's auto insurance regulations apply uniformly to all licensed drivers, regardless of RSA status.

New Hampshire's Mandatory Auto Insurance Requirements

Liability Coverage

All drivers in NH must carry minimum liability limits of 25/50/10: $25,000 for bodily injury per person, $50,000 for bodily injury per accident, and $10,000 for property damage.

Uninsured Motorist Coverage

Uninsured or underinsured motorist coverage is optional but highly recommended. It protects you if you're hit by a driver without sufficient insurance.

Additional Coverage Options

• Personal Injury Protection (PIP)
• Comprehensive and Collision
• Gap Insurance

How RSA Status Interacts with Insurance Requirements

Because RSA deals with real estate disclosures, it has no bearing on auto insurance. However, some mortgage lenders may request proof of adequate auto coverage as part of a borrower's financial profile, especially if the borrower is a co-signer or has a significant debt load.

Common Misconceptions About RSA and Auto Insurance

• "RSA requires me to have auto insurance." – False. RSA only affects mortgage disclosure.
• "I can skip liability coverage because I have RSA." – Incorrect. Liability is mandatory for all drivers.
• "Mortgage lenders will not look at my auto insurance." – Generally true, but some lenders may request it.

How to Verify Your Coverage Meets New Hampshire Standards

1. Check your policy for the 25/50/10 liability limits.2. Ensure your policy includes any optional coverages you want.3. Keep a copy of your policy in your vehicle and provide it to lenders if requested.

What Happens If You Fail to Comply?

Driving without the required liability coverage can result in fines, license suspension, and mandatory insurance reinstatement. The state may also require you to pay a penalty and cover any damages incurred in an accident.

Resources for New Hampshire Drivers

• New Hampshire Department of Safety – Auto Insurance Requirements
• NH State Insurance Department – Consumer Assistance
• Insurance Comparison Sites – Find the best rates for 25/50/10 coverage

Summary of Key Points