Everybody wants to get cheap California auto insurance, and there are several ways to get it. However, it’s just as important to get an insurance policy that complies with California law. By following the basic California auto insurance requirements, it will make things much easier for you in case of an accident, a situation where you will probably have much more than you can handle anyway.
Thus, when looking at different auto insurance policies in California, you shouldn’t only look at the price, but also at the coverage it provides.
The governing law in California that regulates auto insurance is called the Compulsory Financial Responsibility Law. Its objective is to create responsibility and liability for every driver or car owner that is involved in a car accident or incident inside the Californian territory.
It does so by requiring all drivers and car owners to have coverage of two types.
- The first one is body injury. This is the amount of coverage for expenses incurred due to injuries or the death of people during an accident. These might include the other occupants of the car, the occupants of the other car, bystanders, and the driver him or herself.
- The other mandatory type of coverage is property damage. This is the amount of coverage for damage to the property of others in case of accident. The most obvious one is the damage to the other person’s car or your own car, but it might also involve non-moving property; for example, if you crash into someone’s house or business.
Body injury requires you to cover a minimum of $15,000 dollars for a single person in case of one accident, and a minimum of $30,000 dollars for all the people involved in the accident. However, I recommend that if your car has a greater than average risk, like for example, being used by several drivers or in high speedways with regularity, you increase a bit the $30,000 coverage.
Property damage should cover at least $5,000 per accident. However, if you have a risk that’s greater than average, you should consider increasing this at least a bit. If you’ve ever been in an accident, you know how fast “only” $5,000 dollars can go.
It’s important to have all these considerations in mind when getting auto insurance in California. Remember than in case of an accident, you will be stressed and maybe injured or in the middle of an emergency. You may also have to face an angry person if he thinks you’re to blame for the accident. It really pays to make things as easily as possible for you beforehand.