To drive legally in California, you need auto liability insurance of at least 30/60/15: $30,000 for injury or death of one person, $60,000 for injury or death of multiple people in one accident, and $15,000 for property damage.1California Legislative Information. California Code VEH 16056 – Evidence of Financial Responsibility Those are the current California car insurance requirements, and they apply to every policy issued or renewed on or after January 1, 2025, when the state tripled the old property damage minimum and doubled the bodily injury figures.2California Department of Insurance. New Year Means New Changes for Insurance Driving without coverage brings fines, registration suspension, and, if you cause an accident, personal liability for every dollar of damage.
The Minimum Coverage You Must Carry
Vehicle Code Section 16020 requires every driver and vehicle owner in California to maintain financial responsibility at all times.3California Legislative Information. California Code VEH 16020 – Financial Responsibility For policies issued or renewed in 2026, the minimum liability limits are:
- $30,000 for bodily injury or death of one person
- $60,000 for bodily injury or death of two or more people in a single accident
- $15,000 for property damage
Those numbers are written in shorthand as 30/60/15. Before January 1, 2025, the minimums were 15/30/5, and the older figures still turn up in older online guides. Any policy issued or renewed after that date must carry the current limits.1California Legislative Information. California Code VEH 16056 – Evidence of Financial Responsibility
Even at the new minimums, these limits can run out fast. One emergency room visit after a serious crash can exceed $30,000, and totaling a newer vehicle can easily top $15,000. Higher limits usually cost relatively little more per month, and anything above what your policy pays comes directly out of your pocket.
California law also allows three alternatives to a standard policy: a self-insurance certificate from the DMV, a surety bond, or a cash deposit with the DMV.4California Legislative Information. California Code VEH 16054.2 – Alternative Forms of Financial Responsibility These are designed for businesses or people with substantial assets. Self-insurance, for example, requires owning 25 or more vehicles. For almost every individual driver, a liability policy is the only realistic option.
Proof of Insurance in the Car
You must keep evidence of coverage in the vehicle whenever you drive. California accepts electronic proof on a phone or tablet as well as a paper card.5California Legislative Information. California Code VEH 16028 – Evidence of Financial Responsibility An officer can ask for it during a traffic stop (though they can’t pull you over just to check insurance) or at the scene of a collision. Failing to produce proof when asked is a separate citation.
Uninsured and Underinsured Motorist Coverage
Liability insurance pays the other driver when you’re at fault. Uninsured and underinsured motorist coverage (UM/UIM) does the opposite: it pays you when the other driver has no insurance or not enough to cover your losses. California requires every auto liability policy to include UM/UIM unless you reject it in writing.6California Legislative Information. California Code INS 11580.2 – Uninsured Motorist Coverage
If you keep UM/UIM, the limits must be at least equal to the state’s minimum liability requirements. You can request lower limits down to that floor, or decline the coverage entirely, but a rejection has to be a signed written agreement with your insurer.6California Legislative Information. California Code INS 11580.2 – Uninsured Motorist Coverage If you don’t remember signing anything, you probably still have the coverage. Check your declarations page.
Penalties for Driving Without Insurance
Vehicle Code Section 16029 sets the fines for driving uninsured:
- First offense: a base fine of $100 to $200, plus penalty assessments that can push the total above $450.7California Legislative Information. California Code VEH 16029 – Compulsory Financial Responsibility
- Second offense within three years: a base fine of $200 to $500, with real costs commonly exceeding $1,000 after assessments.7California Legislative Information. California Code VEH 16029 – Compulsory Financial Responsibility
The fines are only the start. If your insurer tells the DMV your policy was canceled and you don’t show replacement coverage within 45 days, the DMV suspends your vehicle’s registration.8California Legislative Information. California Code VEH 4000.38 – Suspension of Registration Reinstatement requires proof of a current policy and a $14 fee.9California DMV. Suspended Vehicle Registration The fee is small; driving on a suspended registration opens a new set of legal problems.
A court may also order you to file an SR-22, a form your insurer sends the DMV certifying that you carry at least the minimum coverage. SR-22 status usually lasts three years, and insurers price SR-22 holders as high-risk, which means higher premiums for the full period.10California DMV. Financial Responsibility, Insurance Requirements, and Collisions
Causing an Accident While Uninsured
If you actually cause a crash while uninsured, the consequences get much worse. The DMV will suspend your driving privilege for up to four years, regardless of who was at fault.10California DMV. Financial Responsibility, Insurance Requirements, and Collisions You can get your license back during the last three years of that suspension by obtaining an SR-22 and keeping it in place continuously.
You’re also personally on the hook for every dollar of damage. Without an insurer to defend you or pay the claim, the injured party can sue you directly for medical bills, lost wages, vehicle repair, and pain and suffering. A judgment can lead to wage garnishment and liens on your property. One uninsured at-fault accident is enough to cause lasting financial hardship.
If You Can’t Get or Afford Standard Coverage
A DUI, multiple at-fault accidents, or other serious violations can lead standard insurers to refuse your business or quote premiums that feel impossible. California has two programs built for this.
California Automobile Assigned Risk Plan
The California Automobile Assigned Risk Plan (CAARP) is for drivers turned down by at least one standard insurer. Under Insurance Code Section 11620, the insurance commissioner oversees a plan that distributes high-risk applicants among all insurers licensed to sell auto liability coverage in the state.11California Legislative Information. California Code INS 11620 – Assigned Risk Plans You apply, you’re assigned to a participating insurer, and you get a policy. Premiums are substantially higher than the standard market, but the coverage meets the legal requirement.
Low Cost Auto Insurance Program
If your income qualifies, the California Department of Insurance runs a Low Cost Auto Insurance Program that provides liability coverage at reduced rates.12California Department of Insurance. California’s Low Cost Auto Insurance Program It’s often overlooked. Check eligibility and current income thresholds directly with the CDI before assuming you can’t afford coverage.
A Note on Credit Scores
California is one of a few states that strictly limits the use of credit-based insurance scores in setting auto premiums. If credit history has hurt your quotes in another state, that factor doesn’t follow you here.
What a Required Policy Won’t Cover
Liability insurance covers accidents, not every bad outcome involving a car. The exclusions that catch drivers off guard most often:
- Intentional acts. If you deliberately cause a collision, your insurer owes nothing. California public policy forbids any contract from shielding someone from the consequences of willful harm.13California Legislative Information. California Civil Code 1668 – Unlawful Contracts
- Criminal activity. Using your vehicle to commit a crime voids coverage for the resulting damage.
- Racing. Organized or street racing is universally excluded, including track days.
- Rideshare driving without the right endorsement. Personal policies exclude commercial use. California requires rideshare companies to carry $1 million in coverage during active trips, but gaps exist between turning on the app and accepting a ride. Some personal insurers sell a rideshare endorsement that fills those gaps.14California Legislative Information. California Assembly Bill 2293 – Transportation Network Companies Insurance Coverage
Also worth knowing: the minimum liability policy pays the other party when you’re at fault. It doesn’t pay to repair your own car. For that you need collision coverage, which California doesn’t require but lenders usually do on financed vehicles.