Why California Auto Insurance State Minimums aren’t Enough

California laws require drivers to carry a minimum amount of auto insurance. While meeting these auto insurance state minimums is necessary for legal compliance, it often doesn’t provide adequate protection in real-world scenarios.

In California, the minimum required coverage includes the following:

• Minimum amounts of bodily injury liability per person, which may help cover medical expenses for injuries sustained by others in an accident you cause

• Minimum amounts of bodily injury liability per accident, which is the maximum payout for all injuries in a single accident

• Minimum amounts of property damage liability, which may help cover damages to someone else’s property, such as their vehicle or fence

One of the main reasons state minimums may not be enough is the rising cost of medical care. In California, medical expenses can escalate quickly. Consider the following:

• Average hospital stay—One day in a hospital can cost thousands of dollars, and serious injuries may require extensive treatment.

• Emergency services—Accidents often lead to costly emergency room visits, which can far exceed the minimum coverage limits.

California is known for its high vehicle repair costs. Here’s why relying on minimum property damage liability can be risky:

• High repair bills—Luxury vehicles and newer models can incur repair costs quickly exceeding the minimum liability limits.

• Replacement costs—If a vehicle is totaled, the cost to replace it may far exceed the minimum coverage amount.

Contact Us About Auto Insurance State Minimums

Our agents can help you get appropriate car insurance coverage at favorable rates. Contact Goal Auto Insurance Services in Modesto, California, for auto insurance coverage tailored to meet your unique needs.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.