California Car Insurance Companies

When buying auto insurance in California, it’s important for consumers to do their research first. The only way to get an accurate comparison of companies is to ensure that the policies you’re considering will provide you with the same levels of protection and deductibles.

There are also steps you can take to ensure that the company is reputable and will pay out claims and provide you with the support you need when the time comes. Here are a few ways that residents of California can find the best auto insurance companies for their needs.

Always compare rates for car insurance before choosing a company. You can enter your ZIP code into the FREE search tool located above to get started!

Finding Auto Insurance Companies

Finding auto insurance companies is easy once you know where to look. The state maintains a listing of companies along with their contact information. These agencies have toll-free numbers and/or websites that consumers can use to get information.

While you can call the companies one business at a time for quotes, you’ll find that it’s much faster to go through online comparison sites that allow you to enter your information once and then wait for the responses to start rolling in.

Know the Minimums

California has financial responsibility laws that every driver on the road is expected to follow. This includes not only cars that are driven on the open highway, but also any vehicles that are parked on public roads. As a consumer, you must carry a minimum of the following:

• $15,000 for bodily harm or death to one person in any one accident
• $30,000 in bodily injury liability for any one accident
• $5,000 in property damage liability

However, it’s important to note than an insurance policy with a private company is not the only way to meet these requirements. You can also put a $35,000 cash deposit with the DMV, or get a surety bond for $35,000 with an insurance company licensed to do business in the state.

Owners of fleets with more than 25 vehicles can choose to get a certificate of self-insurance issued by the DMV.

Consider Going Past the Minimums

Those minimums put forth by the state may not be enough to really protect you or other people. If you cause an accident and the person requires several surgeries to restore their mobility and general health, then the medical bills could easily go beyond $15,000.

You’ll be held responsible for the difference between the actual costs and what your insurance company pays. This means that you could wind up facing lawsuits, garnishment and other losses.

Your liability coverage should actually be enough to safeguard your assets in the event of a lawsuit. As your earnings or net worth rise, your insurance plan limits should also rise. The cost is not as high as you think, and it may be well worth a few extra dollars a month for the peace of mind.

Look Beyond the Law

Insurance companies also offers several forms of protections that aren’t required under state law. These will add a little more to your monthly premium, but they all create valuable safeguards that you should strongly consider investing in.

• Collision insurance - If you cause an accident, your insurance covers the damage to the other car, but it won’t pay for the repairs to your car. With collision protection, you can also get your car fixed. This coverage amount is typically high enough to cover the replacement value of your car, so it may gradually drop over the years.
• Comprehensive Coverage – Collision is for things that happen on the road, but it won’t cover parking lot damage, storm damage, vandalism or theft. You’ll need comprehensive coverage to get your car fixed if the damage occurs while it’s parked. While collision and comprehensive aren’t required by the state, they are mandated by most finance companies.
• Medical Payments – Many health insurance companies are now asking if someone else caused your injuries, and they may try to refuse to pay claims if someone else could be held responsible for them. With this protection, you won’t have to worry about a drawn-out battle with your health insurance. You’ll have the extra protection you need to ensure that your medical bills are taken care of. This is also a wise investment for anyone who lacks health insurance or has very high deductibles on the health insurance.
• Uninsured/ Underinsured Motorist – The insurance company pays other parties when you cause an accident, but they expect the responsible party to cover the costs if someone else hits you. When the person who caused the accident doesn’t have coverage or is carrying state minimums, you may be left paying for the damage to your car. With this affordable rider, you won’t have to worry about what happens when the other party doesn’t have enough coverage.

Check the Profiles

Once you decide what coverage and limits you want, you’re ready to visit comparison sites and start looking for the right company. You may narrow the field down to a few agencies based on their rates and premiums, but you’ll want to take it a step further and do a little more research.

California offers online information regarding company profiles so that you can easily learn more about a company’s business lines. Using this same site, you can look up performance information, necessary enforcement actions, financial statements, consumer complaints and more.

Use this valuable and free tool to ensure that a company is financially stable and see how many unresolved complaints they have.

Protect yourself and choose the right insurance by taking the time to do some research. Any company you work with must be licensed through the State of California, and they should be more than willing to share their license information with you. The company will notify the state when you become insured, but you should also carry an insurance card with you.

In addition to covering at least the state minimums, consider going beyond the minimums to give yourself the extra protection you need. People who need low-cost insurance may also be able to purchase some directly through the state.

This is based on your household income, vehicle value at the time of purchase and your personal good driving record. However, many consumers will find that they can find the coverage they need by taking the time to shop around and get different quotes.

Enter your ZIP code into the FREE car insurance comparison tool located below to start your search instantly!