Like any other states in the U.S., driving in the Golden State will require you to carry a minimum auto insurance coverage. It is illegal in California to drive without it. Insistence will lead you to serious fines, lawsuits, and even, jail time.
California insurance laws mandate that the driver should carry a $15,000 bodily injury for a single person, $30,000 for multiple, and $5,000 goes to property damages. If you noticed, these amounts are extremely low. For a full protection, they must be raised accordingly. The good news is that increasing your coverage won’t need a fortune; all you need to do is to add a few dollars each month, and you will be safe like never before. Knowing that you are protected with the right liability amounts will give you that peace of mind while driving the traffic jammed roads of California.
One reason why you need to raise your limits is that these figures won’t suffice during serious road mishaps. For example, the average cost of new cars back in 2008 was $23,000. If you were the at-fault driver and the other party’s car is totaled, obviously, the $5,000 insurance coverage won’t be enough. Once the insurance limits are exhausted, you will shoulder the remaining balances.
The same scenario goes to medical expenses too. Serious accidents often cost thousands of dollars, way beyond the $15,000 mark. What if the other party broke his bones and needs to stay in the hospital for a few weeks? What if after the hospitalization, he needs to be in a therapy session? The coverage amount will quickly run out and you are left, again, to shoulder those expenses.
Today’s medical expenses are so expensive that you could sell your house or break your bank if it happens. Failure to pay this obligation will lead to even more problems – legal battles. For your own protection, you should consider upgrading your current auto insurance coverage. You must be prepared for this kind of situations, especially if you’ve family to raise, kids to send to college, etc.
On top of that, you also need to add the Uninsured / Underinsured insurance coverage. This type of insurance serves as an added protection to protect you from drivers who don’t have enough coverage to pay for any incurred damages. Did you know that roughly 18% of all the drivers in California are uninsured? You can’t teach these drivers the importance of auto insurance, but you can’t let your life or your family be ruined because of them. Typically, if an underinsured driver strikes you, you can file an insurance claim to pay for the repair costs.
If you live in California, you know how unpredictable the weather is on that area right. Did you know that you could protect your car against unforeseen and uncontrollable events such as flooding, falling objects, fires or even mudslides? These things happen in a blink of an eye, and take note these are not collision-related accidents. The best way to protect your asset is to use a comprehensive insurance coverage. This covers all the damages incurred not related to collision. While comprehensive coverage remains to be one of the most expensive coverage, the benefits will be too.
