In these difficult times it is not uncommon for residents of California to formulate budgets and for many vehicle owners, automobile insurance is typically listed amongst the expenses. In order to operate a motor vehicle within the Golden State a motorist needs to fulfill certain financial responsibility laws, and this is typically done by acquiring an automobile protection plan. All policies within the state, however, have specific minimum liability requirements that must be met that may not offer enough coverage for the average motorist. For example, vehicle owners must maintain a policy that covers at least $5,000 for Property Damage Liability (PDL) which is generally considered to be a particularly low amount of protection.

Residents are encouraged to examine budgets closely and allow for as much automobile protection as possible. Although having extensive CA auto insurance may seem unnecessary, motorists should know that being caught without enough coverage could be financially devastating. For example, $5,000 for PDL may seem like a large sum of money, but this value can be quickly exceeded in the event of an accident. According to the Federal Trade Commission, the average price of a new car is roughly $28,400, which is considerably more than the state’s minimum PDL, meaning that an accident could potentially leave a motorist with expensive repair bills. Raising one’s liability limits is an excellent way to increase coverage for only a few extra premium dollars.