California Auto Insurance Requirements
Almost every state in the Union requires that drivers carry minimum levels of auto insurance coverage in order to ensure that, in the event of an automobile accident, the cost of damages to people or property is covered by the involved party. In cases where auto insurance coverage is not obtained, drivers must carry proof of the equivalent in financial responsibility waivers.
Information on specific state requirements can be found on the Department of Motor Vehicles website.
This information is useful when you are new to a state, or if you are a newly licensed driver.
The state of California requires that all motorists must have at minimum liability car insurance.
Your liability insurance policy must have a minimum amount of $5,000 coverage for property damage, $15,000 coverage for injury/death to one person and twice that for more than one person.
Proof of auto insurance must be provided in order to register or renew your vehicle registration. The California DMV uses electronic records reported by insurance companies to verify that you have car insurance.
Buying car insurance is the most common way to fulfill your financial responsibility requirements, but it is not your only option. Other options to meet the requirement include a cash deposit of $35,000 with the CA DMV, a Certificate of Self-Insurance from the DMV, or a surety bond of $35,000 from any company licensed to do business in CA.
