Pennsylvania Personal Lines Law & Coverage Rules
This chapter covers the Pennsylvania-specific personal lines rules that sit on top of the shared national property & casualty fundamentals: who regulates insurance in Pennsylvania, the minimum auto liability limits, the required first-party medical benefits, the state's distinctive full-tort/limited-tort choice, and the notice rules governing cancellation and nonrenewal. Figures below were checked against the Pennsylvania Insurance Department this session; always confirm current numbers before advising a client.
The Pennsylvania Insurance Department
Insurance in Pennsylvania is regulated by the Pennsylvania Insurance Department, led by an appointed Insurance Commissioner. The department licenses producers and companies, reviews policy forms and rates, investigates complaints, and enforces the insurance code. There is no federal insurance department. Official site: https://www.pa.gov/agencies/insurance.
Minimum Auto Liability Limits (15/30/5) and Medical Benefits
To satisfy Pennsylvania's financial-responsibility law, a personal auto policy must carry at least $15,000 bodily injury per person, $30,000 bodily injury per accident, and $5,000 property damage (written 15/30/5), plus at least $5,000 in first-party medical benefits that pay the insured's accident-related medical costs regardless of fault. These are minimums — producers should offer higher limits. Verify current figures with the Pennsylvania Insurance Department.
Full Tort vs. Limited Tort
Pennsylvania is a choice no-fault state. Every driver must select a tort option: 'full tort' preserves the unrestricted right to sue an at-fault driver for pain and suffering (typically at a higher premium), while 'limited tort' lowers the premium but restricts recovery of non-economic damages except in serious injury cases. This choice is unique enough that exam items and real clients both hinge on it — producers must document the insured's selection. Confirm current rules with the Pennsylvania Insurance Department.
Cancellation and Nonrenewal
State law limits the reasons an insurer may cancel a personal auto or homeowners policy mid-term (for example nonpayment or material misrepresentation) and requires advance written notice of cancellation or nonrenewal. The exact number of days depends on the reason and line — verify current Pennsylvania notice periods with the Pennsylvania Insurance Department rather than memorizing a single number.