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Last updated: December 30, 2024
Stacked vs. Unstacked Car Insurance ─ What’s the Difference?
Unstacked car insurance is the default, but you may consider stacking your insurance if you have multiple vehicles.
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Stacked car insurance is specific to uninsured motorist coverage and refers to the ability to combine the bodily injury liability limits of multiple vehicles. If you own more than one car and have uninsured motorist coverage to your policy, stacking the coverage can be useful as it essentially gives you more coverage should you ever need it.
However, stacked coverage is not available in every state. Here’s what you need to know as you consider your coverage options to help you determine which option may work best for you.
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How Does Stacked Car Insurance Work?
Stacked car insurance refers to combining the bodily injury liability limits for uninsured motorist coverage for multiple vehicles. It doesn’t apply to any other type of coverage or the property damage portion of uninsured motorist coverage.
Coverage may be stacked vertically, horizontally or both depending on the state:
- Vertical stacking refers to combining the limits for two or more vehicles on the same policy.
- Horizontal stacking refers to combining the limits for vehicles on separate policies, provided that your name is listed on both.
The way limits are combined is the same in both cases. For example, let’s say you have two cars insured on your policy and you add uninsured motorist coverage for each vehicle with bodily injury limits of $25,000. If you stack your coverage, you would have a limit of $50,000 in the event you get into an accident with an uninsured driver.
GOOD TO KNOW
Uninsured/underinsured motorist coverage covers you if you get into an accident with a driver who doesn’t have auto insurance or doesn’t have enough coverage. This includes hit and runs. Without this coverage, you would be responsible for out-of-pocket expenses if the other driver cannot cover them through their insurance.
Without stacked coverage in this scenario, you would only have a limit of $25,000 and anything over that limit would be your responsibility.
Who Should Consider Stacked Car Insurance
If you own more than one vehicle, live in a state that allows stacked insurance and can afford it (it may be slightly more expensive than an unstacked policy), stacking is generally a good idea for added peace of mind. This is particularly true if you live in a state with a high percentage of uninsured drivers.
Stacking can also come in handy if you get into an accident with an underinsured driver — someone who has insurance, but not enough to cover your injuries. This may be the case if the other driver only carries state minimum insurance, especially in states where the mandated minimum limits are relatively low. Not all insurers allow stacking, so look for one that does if you’re interested in this option.
RELATED
It’s a good idea to get uninsured motorist coverage, given that around 14 percent of drivers in the United States were uninsured as of 2022.1 Check out our guide for more details on how much car insurance coverage you need.
Pros and Cons of Stacking Car Insurance
While stacking car insurance offers several benefits, weigh both sides before deciding if it’s right for you:
Pros
Higher combined bodily injury limit for uninsured/underinsured motorist coverage means you’re less likely to have out-of-pocket costs after an accident with a driver who doesn’t have insurance or enough insurance
May be able to stack limits across multiple policies (as long as policies are all in your name)
Cons
More expensive than unstacked coverage
You must have more than one vehicle
Not all states allow it
Doesn’t apply to property damage — only bodily injury liability
Where Is Stacking Allowed?
The following states currently allow stacked car insurance. Keep in mind that just because a state allows it doesn’t mean it will be available from every insurer in that state. Always double-check availability when you request quotes from different providers.
- Alabama
- Arkansas
- Colorado
- Delaware*
- Florida
- Georgia*
- Hawaii
- Indiana
- Kentucky
- Mississippi
- Missouri
- Montana
- Nevada
- New Hampshire
- New Jersey*
- New Mexico
- New York*
- North Carolina*
- Ohio
- Oklahoma*
- Oregon*
- Pennsylvania
- Rhode Island
- South Carolina
- Tennessee*
- Texas*
- Utah*
- Vermont
- Virginia
- West Virginia
- Wisconsin
- Wyoming*
*Only allows horizontal stacking
Recap
Stacked car insurance can be useful if you have multiple vehicles — or multiple auto insurance policies — and live in a state that allows it. We recommend adding uninsured motorist coverage to your policy if you can afford it and stacking your coverage gives you added financial protection and peace of mind if you’re involved in a hit-and-run accident or are hit by a driver without insurance. You can always ask your car insurance company whether you’re eligible for stacking.
Frequently Asked Questions
Is it better to have stacked or unstacked?
If you have multiple cars, stacked car insurance is generally better than unstacked as it allows you to increase your uninsured motorist coverage and can provide more financial protection. However, not all states and insurers allow it. Additionally, if you only have one car, stacking car insurance doesn’t offer much benefit.
Do you need stacked insurance in Florida?
No, you don’t need stacked insurance in Florida as the state doesn’t require it. However, it does allow the option and drivers must select whether they would like the coverage stacked or unstacked when they purchase their uninsured motorist coverage.
What does it mean to reject stacked limits of uninsured motorist coverage?
If you reject stacked limits of uninsured motorist coverage, it means you’re opting for unstacked limits. There is no requirement to have stacked coverage, so if you live in a state that allows it, you can choose not to use it on your auto insurance policy. If you have one car, you may still need to reject stacked limits as procedural formality.
Is Florida a no-fault state?
Yes, Florida is a no-fault state, meaning that each driver files a claim with their own insurer, regardless of who was at fault in an accident.
Managing Editor & Industry Analyst
Maya Afilalo holds over 10 years of professional experience in writing, communications, and research, which she leverages to provide accurate and reliable information to empower consumers. In addition to overseeing content production, Maya has herself written many articles on auto insurance costs, company comparisons, state laws and requirements, and other topics. She is committed to helping consumers navigate the complex world of car insurance with clarity and confidence. Maya holds a bachelor’s degree from the University of Pennsylvania and a master’s from North Carolina State University.
Citations
14 Percent of U.S. Drivers Were Uninsured in 2022, IRC Estimates. iii. (2023, Oct 31).
https://insurance-research.org/sites/default/files/downloads/Uninsured%20Motorists%20News%20Release%201031_0.pdf
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