• California Auto Insurance Requirements

    What You Need To Know About California Auto Insurance Requirements

    California auto insurance requirements vary from one state to another, and it is essential to learn about the fundamental laws enforced by the Insurance Department in each state. In California, every driver is required to prove they have car insurance when they drive their own vehicle, or a vehicle belonging to someone else. Also, California law demands that if people have a car they do not drive, they have to have some kind of auto insurance cover. Drivers can discover comprehensive details about California car insurance requirements by getting in touch with the California Motor Vehicle Department. Also, drivers can read the advice listed in the California Code section on the official California state website. Here is a quick guide to the standard car insurance laws in California:

    Minimum California Auto Insurance Liability Cover

    Every driver who owns and operates a vehicle in the state of California has to have insurance with three minimum limits. These limits are as follows. $15000.00 for the injury or death of a single individual, $30000.00 for everyone involved in one accident, and $5000.00 for one accident.

    Requirements for Financial Responsibility

    State laws in California permit drivers to take financial responsibility in several ways. Drivers can acquire cover via an automobile or motor vehicle liability insurance policy. Drivers can pay a cash deposit of $35000.00 to the Motor Vehicle Department. Drivers can acquire a self insurance certificate from the DMV to use for fleets of over twenty-five vehicles. Lastly, drivers can acquire a surety bond for $35000.00 from a licensed insurance firm that does business in California

    California Rental car Insurance Requirements

    Every vehicle driven in California has to have insurance, even if it is a rental car. Drivers with rental cars have to have some kind of cover from their normal insurance company, or acquire insurance from the company providing the rental car, prior to getting behind the wheel. Most of the time, insurance cover for renting a car from the driver’s normal insurance provider is cheaper than taking out insurance with the car rental company. Whatever firm is used, the driver has to carry insurance proof in their rental car all the time.

    California Insurance Cover Lapses and Eligibility

    If a driver moves to California from a different state, they might run the risk of an insurance cover lapse. This might mean that they would be subject to a penalty and get their vehicle registration suspended. Also, people who fail to renew their insurance policy on time are subject to fines and penalties. Legislatures in California have introduced a bill which imposes serious penalties on any motorist who allows their insurance cover to lapse. Every auto insurance company in California determines eligibility by considering a mixture of the following things: credit score, personal credit history, payment history, previous premiums and policy coverage type. To get the best possible price for your auto insurance in California, enter your zip code into the form below to compare rates across all major insurance providers in the state.

    Be sure to read up on these essential money-saving tips for major California cities:

    Learn more about CA State
    National Association of Insurance Commissioners