After many years of suffering the perils of uninsured and underinsured motorists, California auto insurance regulation has tightened considerably in recent times. There are no excuses for not having a valid policy in place and persistent offenders face an increasingly severe range of punishments if they fail to abide by the letter of the law.
The new laws have certainly met with the approval of the general public. For too long, honest drivers who always pay their premiums have had to swallow inflated auto insurance rates caused by uninsured and underinsured motorists. With California auto insurance regulation tightened, it is hoped that these rates will fall incrementally over the next few years.
So what does the future hold in store for drivers who refuse to purchase a policy? Under the new California auto insurance regulation, offenders will lose their driving privileges and vehicle registration. Even when these offenders bite the bullet and ultimately toe the line, they will still have to pay new registration fees before they are legally able to drive again.
Under the new California auto insurance regulation, it is also an offence to park an uninsured vehicle on state roads and highways. If a car owner fails to heed the warnings, the state reserves the right to recover the vehicle and impound it until auto insurance has been purchased. The vehicle owner will incur costs for recovery, and their vehicle may ultimately be destroyed if a new policy hasn’t been purchased within a specified timeframe.