By financen | June 24, 2008 - 4:47 pm - Posted in Insurance

California auto insurance State laws have the following requirements as minimum coverage:

$15,000 Liability Bodily Injury (coverage per person)

$30,000 Liability Bodily Injury (coverage per accident)

$ 5,000 Property Damage Coverage (towards any property such as other autos, or any other property)

Liability coverage limits apply on a per accident basis. The above liability coverage is often referred to as 15/30/5 which is an abbreviation.

As per the California auto insurance laws, you must have at least one of the coverage mentioned above, but if you can have multiple coverage, your assets will be more secure. It’s best to get California auto insurance quotes if you are shopping for multiple coverage.

Check out the California auto insurance laws with the California Insurance Dept and get more knowledge in completing a California auto insurance quote comparison from multiple companies with the hassle of having to contact with insurer individually with the option of purchasing a policy online and receiving instant proof of coverage.

There are four ways to accomplish financial responsibility:

  1. Coverage by a motor vehicle or automobile liability insurance policy;
  2. A cash deposit of $35,000 with the Department of Motor Vehicles (DMV);
  3. A certificate of self-insurance issued by DMV to owners of fleets of more than 25 vehicles; or
  4. do business in California

As per the California auto insurance laws, all drivers and owners must have at least the statutory limits of minimum liability insurance or an approved alternative way to pay for injury or property damage they may cause. If the laws are violated, penalties are very severe with this section of the vehicle code.

When your car is in an accident for which you are found legally liable, bodily injury (BI) liability covers your liability to others for injuries to them. Property damage (PD) liability covers your liability for damage to someone else’s property.

A policy with bodily injury of $15,000/$30,000 and property damage of $5,000 will pay out as follows:

  • The maximum limit for one person’s injuries, medical expenses is $15,000 under the bodily injury portion;
  • If two or more people are injured, the maximum limit for the accident will be $30,000;
  • The maximum limit for damage to other people’s property (their car, their fence, etc.) is $5,000.

Comprehensive coverage (other than collision), uninsured motorist, medical payments and collision insurance are not required by law.

For more information, you can call the following law enforcement agencies in California:

California Department of Insurance
300 South Spring Street, South Tower
Los Angeles, CA 90013
800-927- HELP (4357)

California Department of Motor Vehicles
2415 1st Avenue Mail Station F101
Sacramento, CA 95818

California Automobile Assigned Risk Plan
595 Market St., #1250
San Francisco, CA 94105
(800) 622-0954 Toll-free within California only.

This entry was posted on Tuesday, June 24th, 2008 at 4:47 pm and is filed under Insurance. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

Comments Off on Auto Insurance laws in California

Comments are closed.