Drivers in California are not required to fulfill the mandated liability insurance. They are not restricted to liability alone. They may choose any form of insurance that provides adequate coverage based on their needs. However, if their automobile is financed through a lender, they are required to maintain comprehensive Car Insurance In Santa Cruz. The lender can specific the amount of insurance coverage they require based on the value of the automobile.
Auto Insurance 101 for California
The only requirement for auto insurance in California is liability. They adhere to the 15/30/5 rule. However, automobile owners should consider other coverage options to protect their investments. Comprehensive is the highest form of insurance. It covers all probabilities and liabilities that could arise while driving or parking the vehicle. The policy covers the owner’s medical and repair needs as well as victims in other vehicles. If the vehicle is classified as a total loss after an accident, a rental car is provided under this policy.
Collision insurance covers any traffic collisions. This even includes collisions that may occur in shopping center such as shopping cart-related damage. It covers the cost of the owner’s repairs associated with the accident. It does not provide coverage for the other driver. While this policy is beneficial to the property owner, it does not fulfill the mandated requirement for Car Insurance In Santa Cruz.
Supplemental coverage is available through most carriers. They include uninsured or under-insured motorists. This provides coverage in the event that the other driver is deemed at-fault and does not possess insurance. Further policies cover funeral and medical costs for accident victims. Towing and labor coverage is also provided in the event that the owner experiences repair-related issues or becomes strained due to these hindrances.
Drivers who fail to comply with automobile insurance laws are subject to fines. The first offense incurs fines of $100 to $200. Any additional offenses that are applied within a three-year period receive a fine of $200 to $500 fines. The court impounds the vehicle after a second offense. To renew the license and registration of the vehicle the owner must present proof of insurance to their local DMV and the court. Any drivers who would like to learn more about auto insurance should contact Coast Auto Insurance. Follow us on Facebook for more information.
