California has more than 168,000 miles of public roads and is home to over 23 million licensed drivers. Throughout the state, accidents are an unfortunately common occurrence, and residents should be financially prepared for them. To legally drive an automobile in the Golden State, all motorists must purchase and maintain evidence of financial responsibility. In CA, that means buying bodily injury and property damage liability with coverage limits of at least 15/30/5.

Although drivers can meet state financial responsibility requirements with a DMV-issued self-insurance certificate, cash deposit of $35,000 with the DMV, or a surety bond for $35,000 from a company licensed to do business in CA, most vehicle owners end up buying cheap car insurance in California that offers adequate protection. In the Golden State, people have many insurers to choose from that offer competitive rates and different ways to cut costs. For motorists to maximize their savings, they should shop around for the cheapest premium available.

To effectively compare sample rates, drivers need to either contact several companies directly, speak to a licensed broker, or research information online. When shopping on the World Wide Web, people have the opportunity to see dozens of quotes at once, letting drivers efficiently explore their options. When choosing coverages, it’s important for residents to avoid ending up underinsured in an effort to save money. Often, investing in additional protection can pay off after an accident.

Save on California auto insurance

The liability insurance that California motorists are required to purchase only covers other people’s damage that the policyholder is at-fault for, and only up to the specified limits. If a driver who has only $5,000 of property damage liability is in an accident in which the damages exceed this amount, he or she may still be responsible for any remaining damages above that limit. The Federal Trade Commission estimates that the average cost of a new car in 2009 was over $28,000. This means that if vehicle owners total another person’s new automobile, they could face heavy financial losses.

An estimated 15 percent of drivers in California are uninsured, and if a policyholder with only basic liability is struck by one of these drives, he or she may not be covered. To avoid costly out-of-pocket repairs in this scenario, residents should consider buying uninsured/underinsured motorist protection in addition to comprehensive and collision coverage.

To offset the cost of additional coverages, the California Department of Insurance lists a number of available discounts on its website and encourages residents to take advantage of them. In addition to competitive pricing, different companies also promote special discounts as a way of appealing to new customers. It’s common for people to be able to reduce their coverage costs by maintaining a clean driving record, insuring a car with advanced safety features, maintaining low annual mileage, and many other reasons. Cheap auto protection is often available in the Golden State for residents who make the effort to shop around and use their resources.