The specific requirements relating to auto insurance in California can often leave motorists unaware of the fact that they may be using their vehicles illegally. The Californian Department of Insurance requires motorists to be financially responsible in terms of road traffic accidents and the Golden State operates using the tort system that continues to be a familiar feature across the United States of America. When motorists are looking at car insurance quotes, they should always be sure that adequate coverage is in place so that any third parties who suffer physical injury or damage to their property can be sufficiently compensated.
Californian state law allows financial responsibility to be covered in other ways so insurance isn’t actually essential. If the owner of a vehicle is prepared to make a cash deposit of $35,000 with the Californian Department of Motor Vehicles, there is no need to purchase a policy. Additionally, motorists can also obtain a surety bond from a licensed insurer. However, auto insurance remains as the most common method of applying financial and residents of the Golden state can obtain their car insurance quotes from any carrier licensed to operate in California.
When auto insurance quotes are obtained, motorists should ensure that the policy offered covers the basic level of coverage mandatorily demanded by the state. At present, the minimum level of bodily injury liability is $15,000 per person and $30,000 per accident. Furthermore, all drivers should have $5,000 worth of property damage cover. It is important to note that car insurance quotes offering the minimum level of coverage only offer protection to third parties and won’t include allowances for injury or property damage sustained by the policyholder.
The most common reason for obtaining auto insurance quotes that only include basic levels of coverage is affordability. Unfortunately, the pre-defined minimum levels can often leave motorists driving without adequate coverage, particularly if the worst-case scenario actually occurs and the policyholder is involved in a serious road traffic accident. In many cases, motorists are left with exorbitant out-of-pocket expenses. As an example, a motorist may be deemed to be at fault in a collision with a vehicle that has a high market value. If the third party vehicle has $15,000 worth of damage but the policyholder only has the minimum level of insurance, the $10,000 shortfall will have to be met individually.
Consumer resources and industry insiders recommend that Californian residents always obtain car insurance quote with limits of $100,000 of bodily injury liability per person and $300,000 of bodily injury liability per accident. This should be supplemented by $50,000 worth of property damage coverage. Although premiums will inevitably be higher for extended coverage, obtaining the recommended level of insurance can eliminate the risk of financial hardship at a later stage.
If a motorist wants to protect themselves and their vehicles adequately, auto insurance quotes should be adjusted to include additional levels of coverage. Personal injury protection, collision damage cover and protection against uninsured and underinsured motorists should always be considered. In many cases, motorists are best advised to obtain comprehensive car insurance quotes although the terms and conditions of selected policies should be studied thoroughly prior to purchase.