Do I Need Car Insurance In California?

Need A Car Accident Lawyer In CA?

If you’ve been injured due to someone else’s negligence in a car accident, time is of the essence. You need a car crash lawyer who can navigate the complexities of the state’s law to fight for your rights effectively. The Law Offices of Samer Habbas & Associates, PC can provide the informed guidance and support you need. With a track record of winning cases and a team dedicated to your recovery, you can count on us to be your advocate. Don’t let your chance for justice slip away.

California has stringent car insurance requirements that all motorists should be aware of. If you are driving on the Golden State’s roads, it’s vital to understand how these regulations can affect you.

With multiple offices in Irvine, Los Angeles, El Segundo, San Diego, and Riverside, our car accident lawyers represent injured victims across Southern California. For more information or to schedule a complimentary consultation with one of our attorneys, please call (888) 848-5084.

Why Car Insurance Is Mandatory In California

In California, car insurance, also referred to as financial responsibility, is not just a recommendation; it’s a requirement. All vehicles, whether in motion or parked, should have valid insurance coverage. This rule aims to protect all road users from potential financial hardships that may arise due to accidents or damages.

Acceptable Types Of Insurance In California

Not all insurance types are deemed acceptable. The state of California recognizes the following as valid forms of insurance:

Motor Vehicle Liability Insurance Policy

This common form of insurance offers protection against the potential legal liabilities arising from accidents.

Cash Deposit Of $35,000 With DMV

Instead of a traditional insurance policy, drivers can deposit this amount with the DMV.

DMV-Issued Self-Insurance Certificate

Some individuals or businesses can qualify to self-insure their vehicles, although specific requirements must be met.

Surety Bond For $35,000

This bond can be obtained from companies licensed to operate in California. For more details on this and other insurance alternatives, one can contact the DMV’s Financial Responsibility Unit or the Department of Insurance.

Understanding Minimum Liability Insurance Requirements

Under the California Insurance Code §11580.1b, motorists must adhere to the following minimum liability insurance requirements:

• $15,000 when a crash results in physical harm to one person.
• $30,000 when a crash results in physical harm to more than one person.
• $5,000 to address property damage.

It’s worth noting that liability insurance covers the losses of a crash victim other than the policyholder in the event that the policy holder’s actions result in harm. Comprehensive or collision insurance coverage does not adequately address state-mandated minimums. 

Vehicle Registration Suspensions

If the DMV does not receive a driver’s vehicle’s insurance proof, their vehicle’s registration will be suspended. Consequently, the vehicle cannot be operated or parked on public roads until proper insurance documentation is submitted.

Car Accident Lawyers

The car accident attorneys at The Law Offices of Samer Habbas & Associates, PC are committed to seeking maximum compensation and justice for injury victims. With multiple offices in Irvine, Los Angeles, El Segundo, San Diego, and Riverside, our car accident lawyers represent injured victims across Southern California. For more information or to schedule a complimentary consultation with one of our attorneys, please call (888) 848-5084.

FAQs About Car Insurance Requirements In California

Why Is Car Insurance Mandatory In California?

In California, car insurance is required to ensure the safety of all road users and protect them from potential financial hardships due to accidents or damages. Vehicles, whether operated or parked on California roads, must have valid insurance.

What Are The Acceptable Types Of Insurance In California?

The state allows motorists to choose from qualifying insurance policies, a deposit of $35,000 in cash to the state’s DMV, self-insurance certificates issued by the DMV, and surety bond for the same value issued by a venture licensed to operate in California.

What Happens If I Don’t Provide Proof Of Insurance To The DMV?

The vehicle’s registration will be suspended, and the vehicle cannot be operated or parked on public roads until the necessary insurance proof is submitted.