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How California Car Insurance Protects Its Motorists

While there’s no federal law mandating that motorists carry an auto insurance policy, state laws don’t work the same way. 49 of the 50 states that make up the United States demand their drivers carry an auto liability insurance plan at the very minimum. Just as an example, California car insurance laws demand drivers have proof of financial responsibility through carrying an auto liability insurance plan. If you’re a Californian thinking you can forego car insurance (who would be any the wiser?) think again.

Here at CoverHound we can help you find an auto insurance policy that meets your state’s insurance conditions and gives you more bang for your buck.

Rules are Rules

In California, you must be able to show proof of financial responsibility (aka insurance) at all times. You could be asked to show it at a routine traffic stop or when you go to renew your vehicle registration. If you don’t have a policy, you’re asking for a world of trouble. No matter how great a driver you are, there’s always a chance you could be involved in a collision. You’ll have piles of fines and a revoked license to start. And if you are in a road collision, especially if it’s one where you’re the motorist at fault, the financial losses you’ll experience will be devastating. All in all, it’s really not worth it to go without an insurance plan. Not just this, but as of 2006, insurance agencies in California are required by law to electronically submit private-use insurance information to the Department of Motor Vehicles (DMV). This helps the DMV to oversee Class C motorist insurance protection and to take the necessary steps in disciplining drivers without insurance.

Minimum Liability Coverage

According to the DMV, the minimum amount of liability insurance that a California driver must have is as follows:

In an insurance contract, you will find the above information written as: 15/30/5. But before you sign up for your California car insurance plan, do a bit of research first. The minimum requirements set by the state aren’t always the most advantageous. There are a number of insurance coverage types available, and it is recommended by the DMV that motorists obtain more insurance than is required by the state. These insurance types include:

If you’re still not feeling liability coverage, there are other ways to prove financial responsibility. These options include:

What’s important to remember here though, is that you can get discounts with a car insurance policy to lower your premium rate. You can’t get that with the items listed above.

It pays to have car insurance. Learn how CoverHound can help you get a policy that works for you and your state. Use our online comparison and shopping portal or give one of our licensed representatives a call at (866)-278-7881 today!

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