To legally operate a vehicle in California, drivers must have some type of insurance coverage. In the best-case scenario, the policy covers any damage caused by an accident instigated by the at-fault driver. This can be property damage, medical bills and even wrongful death claims if someone dies.
The California Department of Motor Vehicles outlines what type of insurance is appropriate for each driver. Drivers and passengers benefit from fully understanding what the state expects of them when it comes to the law and avoiding common myths that may lead to the wrong type of insurance or the wrong amount of coverage.
Drivers only need a minimum required by law
The amount that the state requires a driver to have versus what they must pay in the event of an accident can be extremely different. The state requires drivers to buy a minimum, but that can lead to out-of-pocket costs if an accident occurs, and a policy does not provide enough coverage.
The driver’s car insurance always covers damages in an accident
In most cases, a person pays to insure their own vehicle. This means that even if someone not on their insurance is driving their car and there is an accident, they are likely to be responsible for the costs. The insurance stays with the car rather than the driver.
Myths about auto insurance spread from person to person and are not always based in fact. This can lead to misconception and confusion if an accident occurs, and a victim needs coverage for injuries or any other problems related to the accident.