Helpful agents are standing by: (213) 290-9179
Press play below to listen to our audio commercial:

Understanding Insurance for Automobiles in California

An automobile insurance can be said as a contract between an individual and an insurance company whereby the individual contributes a certain amount of money regularly (premiums) so that at a future indefinite date the insurance company will pay on behalf of the individual costs incurred by the individual in an automobile accident. Today, insurance covers are very important in safeguarding someone’s assets, future or even life because when a time comes that calls upon you to give out $20,000 in cash, not many would be having such kind of cash ready. It is for this reason that an insurance cover was created so that you will be contributing small amounts over time and when that time comes then the insurance company will step in with the amount required. Car insurance helps people out at such times. We look dipper into understanding the insurance for automobiles in California below.

A person who is driving or owns a car is supposed to be financially responsible for it. By California laws, a driver should always have a basic liability insurance cover that will cater for the damages or injuries suffered by other people not in your car. The law basically seeks to protect the citizens from the negligence or faults of the drivers. If you get involved in an accident you are liable to pay up to $15,000 to the injured person in the other vehicle and if the person injured or dead is more than one you will be liable to pay a total of $30,000 for each incidence if it was your fault. There is a further $5,000 for damage caused to property in every instance.

The second type of cover is called the collision cover. This cover unlike the liability cover takes care of your car. The insurance company will pay for the repairs or the replacement of the car. The insurance will not pay for repairs if they exceed the car’s actual cash value, it will instead replace the car for you.

Comprehensive insurance cover is the cover that includes all the other factors other than those covered under the collision cover. The comprehensive cover will cover instances other than those than involve the road like fires, floods, theft and so on. If your car is still partly owned by the lender they will require that you take up collision and comprehensive cover for the vehicle.

There is the medical payment coverage which comes in when you or a member of your family who was in the vehicle at the time of the accident gets injured. Remember that the liability cover only caters for the people in the other car. The medical cover can extend to even accidents incurred when you are a pedestrian. Follow up with your agent to fully understand the insurance for automobiles in California fully.

Last but not the least; we have rental cover that caters car rental when your car is out being repaired. It only covers those instances that are specified in the policy document.