California is one of the biggest states in North America. Everyday the population gets larger, with migrants moving in and other Americans who found their luck in California. With these, the number of cars has increased rapidly. Due to this, California like any other state has made it a requirement for every driver to possess liability insurance in 2006. Thru this campaign drivers has the capacity to pay for any damage inflicted during traffic collision regardless of fault. Also, this will lessen vehicles that are uninsured to roam around the streets of California.

Liability insurance is applicable if in case the driver is involved in an accident. If it happens to be the drivers fault, with liability insurance there will be an assurance that the driver has the capacity to pay for all the damages he has inflicted. The coverage level starts from the minimum of fifteen thousand dollars for the medical expenses, if ever there was one occupant in the car. If there were two, thirty thousand dollars is the insurance for the medical expenses and an additional payment for property damage amounting to five thousand dollars.

However, before one will be able to register its car, there is a need for auto insurance requirements. The California auto insurance requirements are the following.

Mandatory requirements:

One must carry the papers which clearly states that the vehicle has been insured and has liability insurance. This is in case a traffic officer asks for the papers of the involved parties in traffic collision. The insurance and liability proof are also needed to be presented when renewing vehicle registration.

Minimum Liability for private passenger vehicles:

Like the one mentioned above, the minimum coverage would be fifteen thousand dollars for one person injured or have died because of the incident. Thirty thousand dollars for two or more people injured or have died on the accident and five thousand pesos for payment of the property that has been damaged.

On the scene of the traffic accident, California follows a tort system which means that one of which who were involved in the accident shall be held liable or at fault of the accident. Also, the person liable and its insurance company must have the capacity to pay for all the damages that has been inflicted.