You may already carry liability coverage of California state auto insurance and think that you it has been enough to be legal while driving on the streets of California. By bringing the insurance proof wherever you go, at least you will not get fined unlike those who do not carry car insurance at all.
High medical expense is skyrocketing and California State requires each driver to have $15,000 per person and $30,000 per accident of bodily injury liability and $5,000 of property damage liability.
Besides, not all cars on the streets of California are insured. That means, there is a chance for you to get covered by the third driver in case third driver is at fault.
To avoid emptying bank account and becoming broke, you have to consider purchasing optional coverage. Let’s see the consequences and what you can do about it.
What You Need Now?
You drive carefully and obey the traffic regulations. It is expected that you will never ever get involved in an accident. However, it sometimes comes in the most unexpected situation.
When the third driver does carry car insurance or carries insurance but not in sufficient amount of coverage, you will need to purchase underinsured/uninsured California State auto insurance.
If you have a leasing or financed car, you had better take into account purchasing comprehensive and collision coverage. Comprehensive coverage pays for the car damage that is caused by anything but car accident such as fire, vandalism, disaster and theft. Meanwhile, collision coverage pays for repair cost or replaces your car due to a car accident.
Do you only purchase liability coverage? In case you are at fault, high medical expense of the liability limit cannot cover the entire expenses. It means that the limit has to be higher.
As long as you can afford it, it will be a lot better to ensure that California State auto insurance gives you full coverage.
The Logical Consequence Will Be
A lot of people think that car insurance in California is expensive. Well, this is true if you only carry minimum liability. Since you plan to increase the limit and carry another type of coverage, the insurance rate will be a lot more expensive.
Well, actually, optional coverage is not mandatory. Even, you do not need comprehensive/collision coverage if your car is not financed or leased.
Underinsured/uninsured coverage is more urgent to carry. With higher limit, your California State auto insurance does not remarkably increase.
How to Keep Your Car Insurance Low
The increasing insurance rate will never be a nightmare as long as you can afford it. Once you face an unfortunate situation in an accident, you will see how it saves your financial state.
Besides, you have a chance to get low car insurance in California. A lot of companies will be your options to choose. Besides, car insurance is complicated but there is a system on how to determine the rates. This system is the one that you have to understand.
Each insurance company has its own assessment. But, they primarily take into account your age and location. It will be difficult to get low rate if you are under 25 years old and live in an area with high car accident rate and car theft rate.
Then, your driving record is the proof while you are safe driver or not. All companies are glad to work with these sorts of drivers. That’s why they charge safe drivers in the lowest rate.
Your car will also be checked and assessed. As long as it has been installed with safety devices like airbags and anti-theft devices, and you garage your car in a safe and secured place while not in use, you may hope your California State auto insurance keep lower. Make sure you apply these tip before purchasing one of the insurance policies.