Know the laws in California
As a resident of California you should take some time to learn the rules of the road and it is important for the residents of that area to know California auto insurance laws.
California – A Tort Law State
California is known to be a tort law state when it comes to automobile coverage. This gives the ability to the victim, if injured in an accident, to sue the other person who is held liable. Not just this one simple rule, but there are some other laws as well in this state about which the consumers in the Golden State should remain aware of if they are looking to get insured.
Minimum Insurance Coverage Limits In California
The minimum coverage limit of the liability that is required to operate a vehicle are 15/30/5 which means that $ 15,000 is the amount for physical injury per person who is involved in an accident; $ 30,000 is the physical damage per accident for more than one person and $5,000 for the damage of another person’s property. This coverage protects the other people if it were the insured’s fault while driving. But the limits required by California auto insurance laws are not very high. They rarely are sufficient to actually cover all the expenses resulting from the accident. In such a case, the person responsible can be sued personally for any other expenses above the limits stated on the policy. Therefore it is always better that the person carries, in advance, a bit higher limit.
Making Sure You Get The Lowest Price On Auto Insurance In California
FYI there is a law that states that the insuring company should offer the lowest price to the consumer which he is deemed eligible for. Every insuring company in the state has a toll free number that the customers can call in case of any query. It is also required that at the time of obtaining car insurance quotes for the insurers to at least offer an uninsured motorist coverage before binding the policy. If not interested in that deal, there is a signature needed acknowledging that it was offered but declined. Keep in mind that adding additional coverages to your policy will raise your annual premium so only add those that you feel you will truly need.
Making an informed decision is key to getting the lowest price. The best way to do this is to compare car insurance rates from several companies before you actually buy a policy. Make sure that you are comparing the same exact coverages to ensure their is an equal playing field. For example when checking the prices of company A with a $500 deductible versus company B be sure to input the same deductible for company B as well. This will help insure that you are getting accurate estimates from both of them.
I think these points would have made California car insurance laws clear. So now it is time to get up and start shopping for your auto insurance because believe it or not but you need it.