Basic California auto insurance liability limits are set by the state, but drivers can choose to buy a policy with a higher level of protection if they wish to do so. Since CA follows a tort system for car insurance purposes, people who have been injured in an accident have the right to sue to collect damages from the driver who is determined to be legally responsible for the incident.
Bodily injury liability coverage is used to pay for medical bills and other expenses incurred as a result of a motor vehicle accident. It also pays a funeral benefit if the accident caused one or more fatalities. The minimum level of coverage required under state law is $15,000 to compensate one person injured in an accident and $30,000 to pay for all injuries and damages stemming from the same accident.
Property damage liability insurance is also required for all vehicles registered in California. Driver must buy at least $5,000 to pay for repairs to the other driver’s vehicle, as well as public property damaged in the accident. It pays for repairs to sign posts, light stands, fences, buildings and sheds.
This state’s basic auto insurance liability limits are relatively low. If the injuries and damages that an at-fault driver causes in an accident are higher than the level of liability coverage available, the at-fault driver must pay the difference personally. Buying a policy with a higher level of protection is a much better choice for consumers.