Self driving car laws: how states and the federal government regulate robotaxis
Which states allow cars with no driver, what new laws require and federal rules
Driverless robotaxis carry paying riders in more than a dozen U.S. cities. Yet many people are unsure who makes the rules. The answer is: mostly states, with the federal government playing a growing but still limited role.
This guide explains how the rules work today and what to watch for.
Levels of automation
Engineers use a scale from 0 to 5, set by SAE International:
- Levels 0 to 2: The human drives. Features like adaptive cruise control and lane centering help, but the driver must watch the road at all times.
- Level 3: The car can drive itself in limited conditions, but a human must be ready to take over when asked.
- Levels 4 and 5: The car drives itself with no human needed, within a defined area (Level 4) or anywhere (Level 5).
Robotaxis are Level 4. Most features on cars for sale today are Level 2.
What states decide
States control driver licensing, vehicle registration, traffic laws, insurance and, often, permits for testing and deployment. The Insurance Institute for Highway Safety tracks state laws. Its summary, current as of July 2024, found [1]:
Comparison compiled by Safety Behind the Wheel Foundation
State approaches to driverless vehicles (as of July 2024)
| Approach | Number | Examples |
|---|---|---|
| No requirement for a person inside | 17 states | California, Michigan, Tennessee, Texas, Washington |
| Depends on the level of automation | 11 states | Arizona, Florida, Georgia, Nevada |
| A person must be in the vehicle | 7 jurisdictions | Connecticut, Illinois, Massachusetts, New York, Vermont |
| Requirement not addressed | 2 states | Colorado, Virginia |
Source: Insurance Institute for Highway Safety state law table, July 2024 [1]. Laws change often; check your state.
Most states also require liability insurance. Common amounts include $5 million in states such as California, New York and Tennessee, and $1 million in states such as Kentucky and Pennsylvania [1].
New state laws to know
California. The DMV issues permits for testing and deploying automated vehicles, and the state utilities commission oversees paid passenger service. Since July 1, 2026, police can issue “notices of noncompliance” to robotaxi companies when their vehicles break traffic laws. Companies must give first responders a 24 hour phone line. They must also give officers a way to talk to remote operators. When told, they must move cars out of emergency areas within two minutes [2].
Texas. A 2025 law requires companies running driverless vehicles for commercial purposes to get state authorization. The requirement became enforceable on May 28, 2026 [3]. Companies must acknowledge rules on traffic law compliance, crash recording devices, insurance and the ability to stop safely after a system failure. They must also file a plan for how emergency responders can interact with their vehicles [3]. Personal vehicles used for personal purposes do not need authorization [3].
What the federal government does
The National Highway Traffic Safety Administration (NHTSA) sets rules for how vehicles are built. It does not license drivers or write traffic laws.
- Crash reporting. Companies must report many crashes involving automated driving systems and advanced driver assistance under a standing order. NHTSA streamlined this reporting in April 2025 [4].
- Exemptions. Some standards were written for cars with human drivers. NHTSA can exempt a limited number of vehicles from them, such as vehicles without steering wheels. In 2025, it extended its exemption program to vehicles built in the United States [4].
- Updating standards. In 2025, NHTSA began rulemakings to update standards for controls, windshield wipers and defrosters, and lighting on vehicles without traditional driver controls [4].
- Legislation. Several bills in Congress would set national AV rules, but as of the end of 2025 none had become law [4].
Questions for your community
If robotaxis are coming to your area, community leaders can ask:
- How will police and fire departments communicate with the company in an emergency?
- How will the company report crashes and incidents to local officials?
- How are people with disabilities served?
- What happens when a vehicle blocks a bus lane, bike lane or driveway?
Warning: No car for sale to the public today lets the driver stop paying attention. Features with “autopilot” or “self driving” in their names still require a human ready to take control at every moment.
Checklist: understanding AV rules in your state
Checklist from Safety Behind the Wheel Foundation
- I know whether my state allows driverless vehicles with no one inside
- I know which agency issues AV permits in my state
- I know how to report a robotaxi problem to the company and to NHTSA
- I understand that my car’s driver assistance still needs me to drive
Frequently asked questions
Are robotaxis legal in Connecticut?
As of the 2024 IIHS summary, Connecticut required a person in the vehicle [1]. Laws can change, so check the current rules with the state DMV.
Who decides where robotaxis can drive?
The company chooses its service area, within limits set by state permits and local rules on pickup zones and curbs.
Will there be a national law?
Congress has considered several bills. Until one passes, rules will continue to differ by state.
Related articles
Sources and further reading
- 1Insurance Institute for Highway Safety. “Autonomous vehicle laws.” iihs.org/…/autonomous-vehicle-laws
- 2FOX 11 Los Angeles. “California’s robotaxi crackdown: New law allows police to cite driverless cars.” June 24, 2026. foxla.com/…/california-robotaxi-law-ab-…
- 3Texas Department of Motor Vehicles. “Automated Vehicles Regulatory Program.” txdmv.gov/AVprogram
- 4Eno Center for Transportation. “2025 Autonomous Vehicles Federal Policy Wrapped.” enotrans.org/…/2025-autonomous-vehicles-fe…
This article reflects the safety priorities of transportation policy and emerging vehicle technology. It is general education, not legal advice. Laws on automated vehicles change quickly, so check current state and federal rules. Reviewed November 2026.
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