California Minimum Coverage Car Insurance: Requirements and Costs (November 2024)

Name: California Minimum Coverage Car Insurance: Requirements and Costs (November 2024)
Item: California Minimum Coverage Car Insurance: Requirements and Costs (November 2024)
Author: Mark Fitzpatrick

California's minimum coverage liability limits are $15,000 for bodily injury per person, $30,000 per accident and $5,000 for property damage. On average, minimum coverage costs $659 annually or about $55 per month.

By Mark Fitzpatrick

Reviewed by Mark Friedlander

Edited by Denise Cristobal

Updated: October 29, 2024

Advertising & Editorial Disclosure

California's minimum car insurance requirements include $15,000 in bodily injury liability per person, $30,000 per accident and $5,000 in property damage liability. Since California is an at-fault state, this coverage is legally required to pay for damage or injuries you cause in an accident. Residents must have car insurance to operate their vehicles.

The average monthly cost for this minimum coverage is around $55. While it's important to find the cheapest car insurance in California, make sure your policy provides adequate protection.

TABLE OF CONTENTS

California Minimum Coverage Requirements
Average Cost of Minimum Coverage Car Insurance in California
Cheapest Companies in California for Minimum Coverage
Add-On Coverages in California
Penalties for Driving Without Insurance in California
FAQ

Why Trust MoneyGeek? MoneyGeek analyzed data from Quadrant Information Services and the California Department of Insurance to give you the most accurate cost data for various California drivers.

These rates reflect the cost of minimum coverage car insurance requirements in California as of November 2024.

352,910Quotes Analyzed

18Companies Compared

596ZIP Codes

California Minimum Coverage Car Insurance Requirements

In California, drivers must carry minimum coverage auto insurance, which includes:

$15,000 for bodily injury liability per person
$30,000 for bodily injury liability per accident
$5,000 for property damage liability per accident

California is a fault state, which means drivers may opt for higher coverage limits to protect against potential financial liability from an accident they may cause. This can affect insurance premiums in California. In a fault state, financial responsibility for an accident typically falls on the driver who caused it, and their insurance must cover the damage.

DOES CALIFORNIA REQUIRE COLLISION AND COMPREHENSIVE COVERAGE?

California does not legally require drivers to have collision and comprehensive insurance. However, when financing or leasing a vehicle, lenders often mandate collision and comprehensive insurance to protect their investment against damage from accidents, theft or natural disasters. Collision and/or comprehensive coverage is essential for California drivers with leased or financed vehicles.

What Does Minimum Coverage Cover?

What Liability Insurance Covers	What Liability Insurance Doesn't Cover
Injuries to others if you are at fault in an accident	Your injuries
Damage to another person’s property if you are at fault in an accident	Damage to your car
Some coverage for injuries caused by uninsured/underinsured drivers, depending on your policy	Repairs for weather-related accidents or if you were hit by an animal
	Property damage caused by uninsured/underinsured drivers, unless additional coverage is purchased

The table above displays California's minimum car insurance requirements, covering bodily injury and property damage. Your policy's terms and conditions govern specific coverage details.

Average Cost of Minimum Coverage Car Insurance in California

In California, drivers between the ages of 22 and 29 have the highest premiums due to their higher risk of accidents and lower driving experience.

The table below shows the average minimum coverage cost in California per age group, reflecting how premiums decrease with age.


22-29	$814	$68
30-59	$659	$55
60 +	$652	$54

Cheapest Companies for Minimum Coverage Car Insurance in California

The most affordable options for minimum coverage auto insurance in California are:

CSAA: $139 per year; $12 per month
AAA: $437 per year; $36 per month

Finding affordable minimum coverage insurance is important, but ensure the policy meets your needs and offers adequate protection. Explore your options to get the best car insurance in California.

Data filtered by:Results filtered by:

Age Group:

Age Group:30-59


CSAA	$139	$12
AAA	$437	$36
GEICO	$474	$40
Progressive	$485	$40
Kemper	$561	$47
Capital Insurance Group	$615	$51
Mercury	$630	$52
State Farm	$642	$54
State National	$644	$54
Farmers	$660	$55
Hartford	$715	$60
Nationwide	$722	$60
National General	$745	$62
Travelers	$762	$63
Allstate	$1,040	$87
Chubb	$1,271	$106

Optional Add-On Coverages in California

In California, optional add-on coverages include collision, comprehensive, uninsured/underinsured motorist, medical payments and rental reimbursement. These can protect drivers financially from various scenarios like accidents, theft or personal injury. Determining how much car insurance you need can help tailor a policy beyond the state minimum.

Add-On Coverage	What It Covers	What It Doesn't Cover
Uninsured/Underinsured Motorist Coverage	Medical expenses, lost wages and repair costs if you're hit by a driver with no or insufficient insurance	Damage to your vehicle if you are at fault or damage that exceeds policy limits
Personal Injury Protection (PIP)	Medical expenses, lost income and funeral costs for you or your passengers, regardless of who's at fault	Vehicle damage or injuries to the other driver
Roadside Assistance	Services like towing, flat tire changes and jump-starts when your car breaks down	Cost of parts or repairs needed after the tow
Gap Insurance	Pays the difference between your car's current value and what you still owe if it's totaled or stolen	Vehicle depreciation or overdue loan payments
Rental Car Reimbursement	The cost of a rental car while your vehicle is being repaired after a covered event	Fuel, insurance or other rental extras
Collision Coverage	Repairs to your car after an accident, regardless of fault	Damage due to theft, vandalism or natural disasters
Comprehensive Coverage	Repairs to non-collision damages from events like theft, fire or hail	Damages from a collision or personal injuries
Towing and Labor Coverage	Towing and basic roadside assistance labor costs at the site of your vehicle's breakdown	More extensive repairs needed at a garage
Custom Parts and Equipment Coverage	Safeguards aftermarket enhancements like custom wheels or stereo systems	Original parts that came with your vehicle
Accidental Death Coverage	Offers a payout if you or a passenger dies or experiences certain injuries in a car accident	Non-accidental death or injuries
Classic Car Insurance	Agreed-upon values for your unique vehicle, tailored for vintage or collector cars	Regular use like your daily commute

Penalties for Driving Without Insurance in California

The cost of a ticket for driving without insurance in California depends on whether it’s your first violation or a repeat offense. Drivers with a first-time offense can expect to pay a hefty fine, whereas repeat offenders face even steeper penalties. The financial consequences grow more severe with each subsequent violation.

Additional penalties for driving without minimum coverage auto insurance in California may include:

Vehicle impoundment: Your car may be taken away, and you have to pay to get it back.
Suspension of vehicle registration: You can't legally drive your car until your vehicle registration is reinstated.
Driver's license suspension: Authorities can temporarily revoke your driving privilege, and you need to pay a fee to get it reinstated.
Mandatory filing of an SR-22: An SR-22 is a certificate proving that you carry the state-required minimum vehicle insurance amount.
Potential jail time: You can face jail time of up to six months if you are found driving uninsured and involved in a traffic accident.

Adhering to California's insurance laws is important to avoid these penalties and to have a financial safeguard in the event of an accident. Remember, maintaining minimum coverage auto insurance is a legal requirement and essential for everyone's protection on the road.

What to Do if Your Policy Is Canceled

If your car insurance policy is canceled in California, you should immediately contact an insurance agent to obtain a new policy. Remember that driving without insurance is illegal and can result in severe penalties. California law requires insurance companies to notify the DMV when a policy is canceled, ensuring that the DMV can track who has valid insurance.

The DMV will be aware if you're uninsured, potentially leading to the suspension of your vehicle registration. To avoid this, keep your coverage current and do not drive without at least the state minimum insurance.

California offers the California Automobile Assigned Risk Plan (CAARP) for drivers struggling to purchase insurance on the open market. CAARP provides a way to get the necessary coverage and stay on the right side of the law. Remember, maintaining coverage is vital to complying with California laws and protecting yourself on the road.

WHY WAS MY POLICY CANCELED?

If your car insurance policy in California was canceled, it could be due to a few common reasons:

Non-Payment of Premiums: If you miss a premium payment, your insurer may cancel your coverage.
Fraud or Misrepresentation: Providing false information or failing to disclose important facts can lead to cancellation.
License Suspension or Revocation: Losing your driving privileges usually results in insurance loss.
Too Many Claims: Filing excessive claims in a short period might lead to cancellation, as it increases the insurer's risk.
Violation of Policy Terms: Not adhering to the terms of your policy, such as using your car for commercial purposes without proper coverage, can cause cancellation.

FAQ: California Minimum Coverage Car Insurance

California drivers need to understand the state minimum car insurance requirements. This guide will help ensure your coverage complies with state laws, allowing you to drive legally in California.

What is the minimum car insurance coverage in California?

In California, the minimum coverage for auto insurance requires $15,000 for bodily injury liability per person, $30,000 per accident and $5,000 for property damage liability per accident. This basic coverage meets legal requirements but may not fully protect you in serious accidents.

Why does California require minimum automobile liability coverage for motorists?

California mandates minimum auto insurance coverage to ensure drivers can cover their financial responsibilities in case of an accident. This protects victims from out-of-pocket costs for injuries or property damage and helps maintain public safety by providing a basic level of guaranteed compensation.

Do you need comprehensive insurance in California?

In California, comprehensive insurance is not legally required. However, it offers protection against non-collision-related events like theft or natural disasters. Consider your vehicle’s value and personal risk to decide if comprehensive coverage suits you.

What happens if you drive uninsured in California?

Driving without insurance in California can result in fines of $100 to $200 for a first offense and higher penalties for repeat violations. Authorities may also impound your vehicle and suspend your license. To legally drive, you must carry minimum coverage auto insurance, including bodily injury and property damage liability. Without this coverage, you face legal penalties and financial risks in the event of an accident.

About Mark Fitzpatrick

Mark Fitzpatrick is a Licensed Property and Casualty Insurance Producer and MoneyGeek's Head of Insurance. He has analyzed the insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. He has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.

Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.

Read Full Bio »