Review Your Auto Insurance Policy Every Year
National Car Insurance Day is celebrated every February 1st and it’s a great time to review your policy limits on your vehicle as well as dispel myths about things that raise car insurance rates.
Indeed, there are many car insurance myths that simply are not true, but one biggest lies is driving a red car will raise your rates. While the color of your vehicle will not impact rates, another rumor does in fact raise your rates. Indeed, it’s true that if your community has lots of traffic accidents then your insurance rates will be higher than areas without fewer collisions.
Another misconception is that insurance rates are lower for small cars. Insurance adjusters will tell you the opposite is true. Small vehicles are more likely to sustain greater damage. Also, the occupants of a small vehicle are suffer greater injuries in a collision. So small cars are more likely going to be more expensive to fix and insurance than say a more durable mid-sized SUV.
California Required Insurance Minimums
Motorists should carry adequate car insurance to protect them from financial ruin if they are involved in a collision, or if their car is stolen or lost in a fire. A car is typically one of the largest investment a person makes besides owning their home so it should be protected.
Under California Insurance Code §11580.1b, drivers are required to carry insurance or provide a cash deposit or surety bond for $35,000 to the Department of Motor Vehicles. However, legally, a driver only requires the minimum insurance coverage for motorists is:
- $15,000 for injury/death to one person.
- $30,000 for injury/death to more than one person.
- $5,000 for damage to property.
These are the minimum insurance levels required by California law, but understand that these are extremely low and will not compensate a serious crash, but are probably find for a fender bender. If there are four people traveling together in a car who are all injured, they will share the $30,000 based on their individual case.
It is highly recommended that drivers in the Golden State purchase at least $100,000 of bodily injury protection per person and $300,000 per accident.
California Traffic Accident Statistics
Most drivers who travel on California roads, highways and freeways are aware that they are some of the most dangerous in the nation. In fact, traffic fatalities continue to increase and were up approximately 7.6% from 3,980 in 2020 to 4,285 in 2021, according to the Office of Traffic Safety.
Furthermore, alcohol-impaired driving fatalities rose by 16% from 1,180 in 2020 to 1,370 in 2021 and 52.9% of all drivers killed in collisions who were tested were positive for legal and or illegal drugs in 2021. That’s a 5.5% increase from 2020, the OTS reports.
Attorney James Johnson is a personal injury attorney who has been handling cases in California for nearly two decades. He advises his clients to carry adequate auto insurance, never let your policy lapse and always wear a seatbelt to prevent serious injuries. Read more about National Car Insurance Day.
California Personal Injury Attorney
Those of us at Johnson Attorneys Group know firsthand how important it is to have adequate insurance coverage on the road. Insurance not only covers you and your family, but other motorists if you are at fault for a collision with them. We hope you never need to file an insurance claim due to an injury crash, but if that happens, Attorney James Johnson is available to guide you through the process and will work tirelessly to help you obtain a fair settlement. Contact us at 1-(855) 703-4186
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