Auto insurance isn’t sexy, but if you are a driver, it’s a necessity. At InsuranceOnline.com, we want all of our customers to get the most out of their coverage. Here are a few things millennials need to know about car insurance.
If You Have a Vehicle, You Must Have Auto Insurance in California
First things first. If you have a car in California, you need auto insurance. According to California’s Department of Motor Vehicles (DMV), “financial responsibility is required on all vehicles operated or parked on California roadways.” This “financial responsibility” is really auto insurance, in layman’s terms. Under state law, insurance companies are required to report private-use vehicle insurance information to the DMV electronically. This reporting allows the DMV, as well as law enforcement and the courts, to monitor and ensure that all vehicles on the road are insured.
Besides merely having auto insurance, California law also requires that drivers have a way to cover the costs related to damages or injuries which may have occurred as a result of a car accident. According to the DMV, purchasing liability insurance is the simplest and most common way people choose to meet this legal requirement. The minimum amount of liability insurance an individual must have on their policy in California is:
- $15,000 for injury or death to one person.
- $30,000 for injury or death to more than one person.
- $5,000 for damage to property.
Different Plans, Different Protection
This may seem obvious, but it needs pointing out: choosing different plans will offer you different amounts of coverage. Beyond the minimum coverage the state mandates, there are plenty of options to choose from. These include:
- Comprehensive coverage – This insures against damages that might occur to a vehicle that do not involve traffic accidents, such as theft-related damage.
- Collision coverage – This insures against damages to a vehicle that occur as a result of a traffic collision, such as an accident with another driver.
- Medical and funeral services coverage.
- Uninsured/Underinsured motorist coverage – According to the California Department of Insurance (CDI), in 2017, 12.5 percent of California drivers had no car insurance. Uninsured/underinsured coverage can cover damages caused by one of these drivers.
Discounts Are Available
Paying for auto insurance can feel like a drag. Fortunately, there are a pretty good number of discounts available should you qualify. For example, many insurers offer discounts for those who purchase and utilize anti-theft devices on their vehicles. These devices offer greatly increased protection from theft – and the extra discount doesn’t hurt either! There are also lower rates for avoiding accidents and safe driving, meaning it pays to follow the rules of the road! There are even plenty of student discounts, such as those for good grades and if you are a student resident.
InsuranceOnline.com Is Your One-Stop Shop for Auto Insurance
At InsuranceOnline.com, customers can compare hundreds of quotes – and not just from the big providers – at any time 24/7. We’re more than just an insurance company. Our agents live and work in the same communities as you, so you can be assured you’ll get the right policy from an agent that understands your needs. So, when life happens, InsuranceOnline.com is just a click away. Contact us today at 1 (800) 956-9611 for auto insurance quotes.