California Auto Insurance
California auto insurance law allows for comparatively low liability coverage. Drivers are only required to carry $15,000/$30,000 in liability coverage to pay for the bodily injuries of the people they hit in an accident. So, if you cause an accident which injures 4 people, the most your insurance will pay for any one person to that accident is $15,000, and the most it will pay combined to all 4 of those people is $30,000.) It is usually recommended at a minimum that everyone carry limits of at least $100,000/$300,000.
UM / UIM Coverage: This is perhaps the most important part of your policy, and often times the most overlooked by most of our clients. UM stands for Uninsured Motorist’s Coverage, and UIM stands for Underinsured Motorist’s Coverage. These amounts provide coverage for you if you are injured by someone else who has no insurance or very low insurance limits. State law only requires limits of $15,000/$30,000, and a large portion of the driving population does not have insurance at all.
Since most people consider automobile insurance as a defensive mechanism in the event they are sued in court you should use your automobile insurance as a safety net in case you are injured by a party with little or no insurance. It is a risky proposition by not having high UM / UIM limits. Don’t assume you will be injured in an accident by a person with a $300,000 policy. It is far more likely that you will be in an accident with a person that has no insurance or the State minimum $15,000/$30,000 limits. UM /UIM coverage is not expensive, the only restriction insurance company’s have is that UM /UIM coverage cannot exceed your liability coverage.
Our Experienced Sacramento Personal Injury Attorney Team led by Jesse S. Atwal, Esq. can discuss your options if you are involved in a serious automobile accident and the negligent driver has minimum liability coverage.
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