Reader question:
I live in Fresno, California. What kind of car insurance do I have to have by law?
Karl
Hello, Karl.
Car insurance laws and requirements vary by state, so I’m glad you mentioned that you are in California. In California, in order to register your car with the Department of Motor Vehicles, you have to either have proof of insurance or pay a $35,000 deposit. Since most people don’t just have tens of thousands of dollars to throw around, most opt for getting their vehicles insured. Of course, even if you aren’t registering a vehicle, any one who drives is required to be insured on the car that they’re driving.
The minimum insurance coverage required in California is liability of $35,000–$15,000 for injury/death of one person, $30,000 for injury/death of more than one, and $5,000 for property damage. Those are the most minimal amounts, though, the ones that are required before you get to turn the car on and back it out of the driveway. It’s recommended to get more, though. Sometimes, if you’re purchasing a car, the car lot or owner of the car will require full coverage insurance.
Not only do you have to have insurance, but you have to carry proof of it as well. If you get ticketed for lacking proof of insurance, you’ll end up paying more than $500 even before court costs, and if you get into an accident and you don’t have insurance, your license will be suspended.
Sincerely,
Fashun Guadarrama.