California Auto Insurance Quotes and
Coverage Guide
California Motor Vehicle Insurance
Questions & Answers
Q: Is auto insurance mandatory?
A: Words straight from the horse’s
mouth (or from the California
Department of Motor Vehicles when
we’re being nice) proclaim: “You
must
maintain in force evidence of
financial responsibility as
specified by
law if: · You drive a motor vehicle,
whether you own it or not. · You
own a motor vehicle, whether you
drive it or not, but allow others to
drive it.”
If you need it any clearer than
this, you probably should not be
driving
anyway.
Q: Is California a "tort" state?
A: Yes. In tort states, restrictions
on lawsuits don’t exist. This means
you can get your pants sued off (or
your insurance company can) if
you’re the one who caused all the
pain and suffering and medical costs
incurred by the other driver and/or
the other driver’s passengers. And
if you’ve got anything more than
pants, and they’ve got more pain and
suffering and medical costs than
what your minimum liability
insurance
covers, they can get everything else
you own, too.
Q: What type of insurance is
required to purchase and maintain a
California tag and registration?
A: California requires minimum
liability insurance of 30/15/5
($15,000
for a single death or injury,
$30,000 for death or injury to more
than
one person, and $5,000 for property
damage). This law is to keep the
financially irresponsible people off
California’s roads and highways, so
if you’re the type who can’t find
two nickels to rub together, you’re
probably better off walking anyway –
unless you sent them to the
insurance company that you gave
those two nickels. And before you
buy
insurance from anybody, make sure
they’re licensed by the California
Department of Insurance
(1-800-927-HELP). Even though that
guy in the
park wearing the trench coat and
shades promised you a deal, he may
be
one of those types who doesn’t have
two nickels to rub together and
couldn't possibly insure you for any
thing any way any where -- except
maybe in the Twilight Zone.
Q: Can I maintain my current policy
issued in my previous state of
residence?
A: You have 20 days to get your act
together about your car insurance
after you’ve come to California, but
before you even drive here from
whatever state you’re coming from,
you should ask your insurance
company
if you are covered in case of an
accident. Before those 20 days are
up,
you need to get insurance through
someone licensed through the state’s
Department of Insurance (see above).
And, please, avoid that guy in the
park.
Q: What if I fail to keep insurance
on my vehicle that I’ve registered
in California?
A: You can get fined, get your
vehicle impounded, or lose your
driver
license for up to four years if you
don’t produce proof of insurance in
one of those close encounters of the
third kind with a California peace
officer. And don’t try to pass off
that obviously fake piece of paper
that looks like it was written by
someone from the Twilight Zone and
that’s already starting to smudge –
the cops know all about that guy in
the park.
Q: I am not a resident of
California, but I visit for several
months
during the year. Do I need
California insurance?
A: Unless your current residency is
in the Twilight Zone, you can drive
in California with your existing
state’s registration for up to six
months, but be aware you are subject
to the same financial
responsibility laws as valid
California licensed drivers, i.e.,
you’ve
got to have at least the 30/15/5
minimum liability insurance. You
also
need to call your agent in your
state of residency to make sure your
policy protects you from liability
in California.
Q: I own several vehicles but do not
operate some of them. Do I need
insurance for the inoperative ones?
A: You must obtain minimum liability
coverage on all vehicles that are
registered to you, both operational
and non-operational, despite what
that guy in the park may have said.
You never know when your broken-down
heap might suddenly come alive and
run someone down, at which time
you’ll be glad you’re covered. Since
you’ve obviously taken a short
vacation back to the Twilight Zone,
it could come in handy.
You can save on your registration
renewal fees, however. For a $15
fee,
you can apply for a Planned
Non-Operation (PNO) certificate if
you plan
to store and not operate your
vehicle during the next renewal
year. If
you do drive it or park it where it
might get a citation, though, then
you’re out the full registration
fees, and penalties for that year
become due. And then you may wish
you were back in the Twilight Zone,
along with the park guy.
Q: How can I own a vehicle and not
need insurance?
A: Currently, the only vehicles you
can own and not have liability
insurance on are the following: ·
Trailers · Off-highway vehicles ·
Government vehicles · IRP registered
vehicles · Permanent fleet
registered vehicles · Special
equipment vehicles · Vehicles
registered
under a Planned Non-Operation (PNO)
status · Vehicles you’ve bought at
the hobby shop, put together with
airplane glue, and display on your
mantel, along with the one the park
guy had Special Delivered to you
from – you guessed it – the Outer
Limits. (Gotcha!)
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