Accident Insurance

Reader’s Question:

I just recently moved to California. What automobile accident insurance does this state have for its motorists?

Jonathan

San Diego, CA

The foremost accident insurance that California has for all its resident motorists is liability insurance. As the name implies, this type of automobile accident insurance covers the medical and hospitalization costs of the other motorist hit by the insured. This will also cover repairs for the damage done to the other motorist’s automobile. The smallest medical expense this accident insurance covers for one occupant (the driver) in the automobile is fifteen thousand dollars. For more than one occupant, a total of thirty thousand dollars worth of combined medical expenses is the minimum. Property damages including those sustained by the automobile can be covered for at least five thousand dollars. These amounts are actually the minimum liability coverage that a California driver must purchase. Anything less will mean that the driver is underinsured.

In an automobile accident, the insured driver’s vehicle will naturally also sustain damages. The accident insurance that covers this is called collision and comprehensive insurance. This type of coverage is not required by the state of California, but it is still highly recommended. One big advantage is that this type of insurance covers more than simple car crashes. Accidents caused by animal collision and bad weather are included. The automobile can also be insured against theft under collision and comprehensive. Necessary repairs can also be done and the insurance will foot the bill. It all just depends on how high or low the purchased limits are and what deductibles have been set between the policyholder and the auto insurance company.