Filing a car accident lawsuit in Vermont

Vermont gives you three years to sue after a crash, caps almost nothing against a private driver, and bars recovery once your own share of fault passes 50 percent. Here are the exact Vermont rules, with statute citations.

ThatCarHitMe.com Editorial
Jul 1, 2026
6 min read

Vermont handles crashes on a fault basis. The driver who caused the wreck, along with that driver's insurer, is responsible for the harm, and if the insurance company won't pay what your claim is worth, your next step is a civil suit in Vermont Superior Court.1 The mechanics of a lawsuit look similar from one state to the next. What follows is the part that's specific to Vermont: the deadlines, the dollar figures, and the rules that decide whether you recover and how much.

You have three years, and the clock has some quirks

Vermont gives you three years to sue for a personal injury from a crash. The deadline lives in 12 V.S.A. § 512(4), which covers "injuries to the person," and the same statute gives you three years to sue for damage to your vehicle and other personal property under § 512(5).2 One detail trips people up: § 512(4) says the personal-injury clock runs "as of the date of the discovery of the injury," not automatically from the crash date.2 For most collisions those are the same day. For an injury that shows up weeks later, the discovery rule can move the start.

The three years can also pause. Vermont stops the clock while an injured person is a minor, lacks capacity because of a mental condition, or is imprisoned when the claim accrues (12 V.S.A. § 551), and it pauses again for any period the at-fault driver is out of the State before suit (12 V.S.A. § 552).34 Miss the deadline and the court can throw the case out no matter how clear the other driver's fault was. If your claim is against a state or municipal entity rather than a private driver, different notice rules apply, so it's worth confirming your date early.

How fault decides your recovery

Vermont is a tort (at-fault) state. It does not use no-fault, so there's no mandatory personal injury protection (PIP), and you pursue the at-fault driver directly.1 The rule that shapes most cases is modified comparative negligence, set out in 12 V.S.A. § 1036. You can still recover as long as your share of the fault "was not greater than the causal total negligence of the defendant," with your damages reduced by your own percentage.5 In plain terms, you can be up to 50 percent at fault and still collect a reduced amount. Cross to 51 percent and you recover nothing.

Say a jury values your case at $100,000 and finds you 20 percent responsible for the crash. You take home $80,000. Because that line at 51 percent can end a claim outright, how fault gets apportioned is often the whole fight. That is especially true in Vermont's winter driving, where insurers like to argue a driver was going too fast for snow or ice. Weather doesn't change the legal standard. Each driver still owes reasonable care for the conditions.

Insurance minimums, and the coverage that actually protects you

Every Vermont driver has to carry liability coverage of at least $25,000 for injury to one person, $50,000 for injury to two or more people, and $10,000 for property damage in any one crash (23 V.S.A. § 800).6 A driver can instead file evidence of self-insurance of $115,000 with the Commissioner of Motor Vehicles.6 Those minimums are low, and they're the ceiling on what many at-fault drivers can actually pay.

That's why the next coverage matters. Vermont requires uninsured and underinsured motorist (UM/UIM) coverage on every auto policy, at no less than $50,000 per person and $100,000 per crash, and if you buy higher liability limits your UM/UIM limits rise to match unless you direct otherwise (23 V.S.A. § 941).7 The statute also provides up to $10,000 in UM property-damage coverage, subject to a $150 deductible.7 If the driver who hit you carried no insurance, too little, or fled the scene, this is the coverage you claim against.

Vermont does not require medical payments (MedPay) coverage on a standard policy, though insurers commonly sell it as an add-on. The one place a MedPay floor is written into law is rideshare: while a Transportation Network Company driver is on a prearranged ride, the policy must include $5,000 in MedPay along with $1,000,000 in liability and UM/UIM coverage (23 V.S.A. § 750).8 Worth knowing if you're hurt in or by an Uber or Lyft.

What you can recover, and the only cap that exists

In an ordinary crash suit against a private driver, Vermont puts no statutory cap on your damages. Medical bills, lost wages, future care, pain and suffering, and punitive damages in the right case are all uncapped by statute. The single cap in this area applies only when you sue the State of Vermont itself, where recovery is limited to $500,000 per person and $2,000,000 for all claims arising out of one occurrence (12 V.S.A. § 5601).9 That figure comes up in crashes involving a state vehicle and, in some cases, a claim about road design or maintenance.

Punitive damages stay on the table for egregious conduct, and drunk driving is the classic example. Vermont also lets an injured person reach past the drunk driver through its dram shop law. Under 7 V.S.A. § 501, you can bring a claim against a licensed establishment that sold or served alcohol to a minor, served after legal hours, or negligently kept serving someone already apparently under the influence.10 That can matter when the at-fault driver's own coverage falls short.

Situations Vermont treats its own way

Motorcyclists face a universal helmet rule. Under 23 V.S.A. § 1256, no one may operate or ride on a motorcycle on a Vermont highway without protective headgear that meets the federal safety standard at 49 C.F.R. § 571.218, with a narrow exception for fully enclosed autocycles.11 Lane splitting is not allowed, though two motorcycles may share a single lane.

Distracted driving carries teeth here. Vermont bans holding a phone or other portable electronic device while driving, and it's a primary offense, so police can stop you for that alone (23 V.S.A. § 1095b).12 A first violation runs $100 to $200, and a second or later violation within two years runs $250 to $500, with higher fines and license points in work zones and school zones.12 A citation against the other driver is useful evidence of negligence in your injury claim.

Reporting and documenting your crash

Vermont law puts a reporting duty on you as well. Under 23 V.S.A. § 1129, the operator of any vehicle in a crash where someone is injured or total property damage reaches $3,000 or more must file a written report with the Commissioner of Motor Vehicles within 72 hours.13 Crash report requests, including collisions investigated by the Vermont State Police, run through the DMV's Driver Control unit in Montpelier.14 For the practical steps of getting your report, see the Vermont crash reports page.

If your vehicle was badly damaged and then repaired, its resale value can still drop, and Vermont lets you pursue that loss separately. The Vermont diminished value guide covers how that claim works. When the numbers are serious or fault is contested, talk with a Vermont attorney early, before the three-year window narrows. You can start with the legal directory.

This is general information about Vermont law, not legal advice.

Sources

  1. Vermont DMV, Insurance Requirements. https://dmv.vermont.gov/enforcement-and-safety/laws/insurance

  2. Vermont Statutes, 12 V.S.A. § 512. https://legislature.vermont.gov/statutes/section/12/023/00512

  3. Vermont Statutes, 12 V.S.A. § 551. https://legislature.vermont.gov/statutes/section/12/023/00551

  4. Vermont Statutes, 12 V.S.A. § 552. https://legislature.vermont.gov/statutes/section/12/023/00552

  5. Vermont Statutes, 12 V.S.A. § 1036. https://legislature.vermont.gov/statutes/section/12/027/01036

  6. Vermont Statutes, 23 V.S.A. § 800. https://legislature.vermont.gov/statutes/section/23/011/00800

  7. Vermont Statutes, 23 V.S.A. § 941. https://legislature.vermont.gov/statutes/section/23/011/00941

  8. Vermont Statutes, 23 V.S.A. § 750. https://legislature.vermont.gov/statutes/section/23/010/00750

  9. Vermont Statutes, 12 V.S.A. § 5601. https://legislature.vermont.gov/statutes/section/12/189/05601

  10. Vermont Statutes, 7 V.S.A. § 501. https://legislature.vermont.gov/statutes/section/07/017/00501

  11. Vermont Statutes, 23 V.S.A. § 1256. https://legislature.vermont.gov/statutes/section/23/013/01256

  12. Vermont Statutes, 23 V.S.A. § 1095b. https://legislature.vermont.gov/statutes/section/23/013/01095b

  13. Vermont Statutes, 23 V.S.A. § 1129. https://legislature.vermont.gov/statutes/section/23/013/01129

  14. Vermont DMV, Crashes. https://dmv.vermont.gov/enforcement-and-safety/laws/crashes

About This Guide

Written by: ThatCarHitMe.com Editorial

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