California Auto Insurance and the Tort System

California auto insurance operates under the Tort system that addresses and resolves legal matters and liability concerns in relation to civil issues that are not part of a contractual agreement. In the Golden State, California auto insurance is compulsory and under the Tort system, all drivers must have the minimum level of 15/30/5 coverage.

In simple terms, this means that all drivers must have $15,000 of single person liability cover and $30,000 worth of multiple person liability cover in relation to injuries sustained in an ‘at fault’ accident. Additionally, California auto insurance obligations require $5,000 worth of accident cover in relation to damage sustained to a third party vehicle in the event of any accident.

Although these are the absolute minimum levels of cover that a driver must have before taking to the road, California auto insurance can also be enhanced by a number of additional features. Motorists can purchase further cover for collision damage that will see their insurance company covering the cost of repairs to their own vehicle in the event of an accident. Also, drivers can take out cover as protection against other motorists who are either underinsured or not insured at all. In many cases, California auto insurance policies will have other beneficial features added including roadside assistance and personal injury cover.

In 2009, the price of California auto insurance was $85 below the national average even though California is the most densely populated areas within the entire United States. The use of online resources such as internet-based insurers and price comparison websites has had a significant effect in keep the cost of California auto insurance down to an affordable level.

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