What Is the Minimum Car Insurance in California?

California's Minimum Liability Requirements

15/30/5 coverage explained:

$15,000 bodily injury liability per person

• Covers medical bills, lost wages, and pain and suffering for one person you injure
• If medical costs exceed $15,000, you pay the difference out of pocket
• Example: You cause an accident and injure someone requiring $40,000 in treatment. Your insurance pays $15,000; you're personally liable for $25,000.

$30,000 bodily injury liability per accident

• Total coverage for all people injured in a single accident
• If you injure multiple people, this limit applies to the combined claims
• Example: You injure three people with medical bills totaling $60,000. Insurance pays $30,000; you owe $30,000.

$5,000 property damage liability per accident

• Covers damage to other vehicles, buildings, fences, or property
• California's limit is one of the lowest in the nation
• Average repair costs for moderate accidents exceed $5,000
• Example: You total someone's $25,000 car. Insurance pays $5,000; you owe $20,000.

What liability insurance does NOT cover:

• Your own injuries
• Your own vehicle damage
• Damage you cause that exceeds policy limits

For a complete breakdown of liability coverage, see our guide on liability car insurance explained.

Why 15/30/5 Is Not Enough

California's minimum limits are dangerously low.

Here's why 15/30/5 leaves you exposed:

1. Medical costs exceed $15,000 quickly.

• Average ER visit for serious injuries: $10,000–$50,000
• Surgery: $30,000–$150,000+
• ICU stays: $10,000+ per day
• Long-term rehabilitation: $50,000–$200,000+

One serious injury can blow through your $15,000 per-person limit in hours.

2. Property damage costs more than $5,000.

• Average repair cost for moderate accidents: $7,500–$15,000
• Luxury and EV repairs: $20,000–$50,000+
• Multi-vehicle accidents: $50,000–$100,000+
• Commercial vehicles and property damage: $100,000+

California's $5,000 property damage limit hasn't kept pace with vehicle costs. The average new car costs $48,000+.

3. You're personally liable for anything above your limits.

• Injured parties can sue for the difference
• Courts can garnish wages, seize bank accounts, and place liens on your home
• Bankruptcy may not discharge injury judgments

Real-world example: You run a red light and T-bone a Tesla Model Y ($55,000). The driver suffers neck and back injuries requiring $45,000 in treatment. Two passengers have injuries totaling $30,000.

Your 15/30/5 policy pays:

• $15,000 for driver injuries (you owe $30,000)
• $15,000 for passenger injuries (you owe $15,000)
• $5,000 for vehicle damage (you owe $50,000 for totaled Tesla)

Total you owe out of pocket: $95,000.

For more guidance on coverage levels, read how much car insurance do I need.

Recommended Coverage for California Drivers

Most California drivers should carry at least 100/300/100 coverage:

• $100,000 bodily injury per person
• $300,000 bodily injury per accident
• $100,000 property damage per accident

Why 100/300/100 is better:

• Covers most accidents without exposing your personal assets
• Protects your home, savings, and future wages
• Only costs $200–$500/year more than minimum coverage
• Demonstrates financial responsibility to courts

Consider even higher limits if:

• You own a home or significant assets
• You have high income or retirement savings
• You drive in high-traffic areas (Los Angeles, San Francisco, San Diego)
• You have teen drivers on your policy

Options include:

• 250/500/100: Strong protection for homeowners
• 500/500/100: Maximum coverage for high-net-worth individuals
• Umbrella insurance: Adds $1–$5 million in liability protection beyond your auto policy (costs $200–$500/year)

For state-by-state requirements, see our complete guide on minimum car insurance requirements by state.

Additional Required Coverage in California

Uninsured motorist coverage:

California requires insurers to offer uninsured/underinsured motorist (UM/UIM) coverage.

• You can reject it in writing, but that's a bad idea
• About 16% of California drivers are uninsured
• UM/UIM covers your medical bills and lost wages if hit by an uninsured or underinsured driver

Minimum UM/UIM limits match liability: 15/30.

Recommended: Increase UM/UIM to match your liability coverage (100/300 or higher). If an uninsured driver totals your car and injures you, this is your only protection.

Learn more in our guide on uninsured motorist coverage.

Proof of insurance:

• You must carry proof of insurance in your vehicle at all times
• Acceptable proof: insurance card (paper or digital), policy declaration page
• Provide proof during traffic stops, accidents, or DMV registration

California's low-cost auto insurance program:

If you meet income requirements, California offers low-cost liability insurance:

• Must earn under $42,600/year (individual) or $87,100 (family of four)
• Meet other eligibility requirements
• Provides 10/20/3 or 15/30/5 coverage at reduced rates
• Learn more at mylowcostauto.com

While this meets legal minimums, it's still inadequate for serious accidents.

Penalties for Driving Without Insurance in California

California takes uninsured driving seriously.

Fines and fees:

• First offense: $100–$200 fine, plus penalty assessments (total: $450–$900)
• Subsequent offenses: $200–$500 fine, plus assessments (total: $1,000+)

License suspension:

• DMV can suspend your driver's license
• Suspension lasts until you provide proof of insurance
• Reinstatement requires filing an SR-22 (proof of financial responsibility) for 3 years
• SR-22 increases insurance costs by 20–50%

Vehicle impoundment:

• Police can impound your vehicle for 30 days
• Impound fees: $150–$300+
• Daily storage: $50–$100/day
• Total cost: $1,500–$3,000+

Liability for damages:

• You're personally responsible for all accident costs
• Injured parties can sue and garnish wages
• No insurance protection

Difficulty getting insured later:

• Lapse in coverage increases premiums by 30–50%
• Some insurers won't cover drivers with uninsured violations
• You may need high-risk (non-standard) insurance

For more on SR-22 requirements, see our guide on SR-22 insurance.

Optional Coverage to Consider

While not required, these coverages protect your own vehicle and injuries:

Collision coverage:

• Covers damage to your vehicle in accidents (regardless of fault)
• Required by lenders if you finance or lease
• Recommended if your car is worth $3,000+

Comprehensive coverage:

• Covers theft, vandalism, weather, fire, and animal strikes
• Required by lenders
• Recommended for all vehicles worth $3,000+

Learn the difference in our article on comprehensive vs collision insurance.

Personal injury protection (PIP) / MedPay:

• Covers your medical bills regardless of fault
• California doesn't require PIP, but MedPay is available
• Costs $50–$200/year for $5,000–$10,000 coverage

Roadside assistance:

• Towing, jump-starts, flat tire changes
• Costs $10–$30/year

Rental car reimbursement:

• Pays for a rental while your car is repaired after a covered claim
• Typically $30/day for 30 days
• Costs $20–$50/year

For full coverage options, see our guide on types of car insurance coverage.

How Much Does Car Insurance Cost in California?

Average annual premiums in California:

• 15/30/5 (minimum): $600–$900/year
• 100/300/100 (recommended): $800–$1,200/year
• Full coverage (liability + collision + comprehensive): $1,500–$2,500/year

Factors that affect your rate:

• Location (Los Angeles and Bay Area are most expensive)
• Age (under 25 pays more)
• Driving record (accidents, tickets, DUIs)
• Credit score (insurers use credit-based insurance scores)
• Vehicle type (luxury and sports cars cost more)
• Annual mileage
• Coverage limits and deductibles

California-specific rules:

• Insurers can't use gender to set rates (banned in 2019)
• You can request a "good driver discount" (no at-fault accidents or violations in 3 years)
• Low-mileage discounts available for drivers under 7,500 miles/year

For tips on reducing costs, read how to lower car insurance.

How to Get Cheaper Car Insurance in California

Compare quotes from multiple insurers.

• Rates vary by hundreds of dollars between companies
• Compare at least 3–5 quotes
• Use tools like Coverwise to shop efficiently

Learn more in our guide on how to compare car insurance quotes.

Increase your deductibles.

• Raising your deductible from $500 to $1,000 saves 10–20%
• Only do this if you have emergency savings

Ask about discounts:

• Good driver: 20–30% off
• Bundling (home + auto): 15–25% off
• Good student: 10–15% off
• Low mileage: 5–15% off
• Defensive driving course: 5–10% off
• Pay-in-full: 5–10% off

Maintain continuous coverage.

• Gaps in coverage increase rates by 30–50%
• Even if you're not driving, consider non-owner insurance to avoid lapses

Improve your credit score.

• California insurers use credit-based insurance scores
• Better credit = lower premiums
• Pay bills on time and reduce debt

Drive less.

• Low-mileage or usage-based insurance (UBI) saves money
• Programs like Snapshot, SmartRide, or Milewise track mileage and driving behavior

Frequently Asked Questions