Average Rates for Car Insurance in California

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The average cost of car insurance seems to be rising throughout the country and the state of California, despite a nominal decrease in premiums last year, is no exception. It’s more important than ever before for consumers to take responsibility for knowing and understanding the average California auto insurance rates before they set out to find new quotes.

Average Liability Costs

The state of California requires all drivers to carry bodily injury and property damage liability coverage in order to pay for the damages they cause to other drivers and their property. The minimum allowable coverage is $15,000 per person up to $30,000 per accident in bodily injury coverage and $5,000 for property damage coverage.
The average California auto insurance rate for liability coverage is around $800 every year.

Average Comprehensive and Collision Rates

Comprehensive and collision coverage is not required by state law but those with new vehicles, or those who have finance or lease obligations, often carry these coverages. Comprehensive coverage will pay for damages to your vehicle caused by fire, theft, vandalism, animal collisions, or “acts of God.” Collision coverage will pay for any impact collision you are responsible for causing.

The average California auto insurance rate for comprehensive coverage is around $500 per year while the average cost for collision is around $800.

California’s Financial Responsibility Laws

Under California law, you do not necessarily have to purchase a standard automobile insurance policy. You can, if you choose, establish your financial responsibility by simply giving the Department of Motor Vehicles a deposit of $35,000 in cash. Business owners can self-insure fleets of vehicles or provide a bond for the same amount.

The average cost of car insurance in California is relatively affordable compared to most other states. When all is said and done, every policy is very different and most drivers end up paying around $1,800 per year to insure a vehicle. This rate takes age, driving habits, commute length, and vehicle type into consideration as well.

It’s really difficult to determine what you’ll be paying without approaching a few carriers for formal quotes and, as noted, it is important to remember that the numbers mentioned above are simple averages. Our site have been developed to help you find the most competitive quotes from the best carriers in the state and each is ready to treat you like the individual you are. Let us help you find something better than average!

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