As with most types of insurance, more coverage will often equal a higher premium. If you’re trying to save money, this might leave you wondering how low you can go. Or, in other words, you might be wondering about a basic auto insurance policy that is affordable, but still fulfills legal requirements in California.
Like most other states, California does require drivers to carry auto insurance. This protects not only you and their property as well. While rates can vary from one provider to the next, every driver is required to purchase an auto insurance policy that includes the following minimum coverage:
- Bodily Injury Liability Coverage at $15,000 per person or $30,000 per accident
- Property Damage Liability at a minimum of $5,000
- Uninsured Motorist Bodily Injury Coverage at $15,000 per person or $30,000 per accident
- Uninsured Motorist Property Damage Coverage at $3,500
If your auto insurance includes at least the above minimum coverage amounts, you are complying with the law. That’s a good thing, too, since a ticket for driving without insurance can cost you a whopping $1,000! Your vehicle can even be impounded, although this normally only happens if you’re caught driving without insurance more than once.
It is tempting to carry only the minimum amount of insurance coverage, in order to save a bit on premiums. But when you compare rates between different providers, get a quote for a few different levels of coverage, too. You might be surprised at how affordable it can be to bump up your level of coverage a bit.
Anyone can make a mistake at any time, and you could find yourself battling over medical expenses or other consequences in court. So when choosing an auto insurance policy, carefully weigh the benefits of purchasing more than the minimum amount of coverage. It isn’t required, but it might indeed be wise.