Recent Change in California Minimum Policy Requirements

By Michael S. Johnson

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Personal Injury

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Last Modified on Dec 30, 2025

Having insurance can mean the difference between financially recovering from an accident and having lasting hardships. While you may have noticed higher insurance premiums or heard about increased limits in California, the recent change in California minimum policy requirements may offer you more protection after a car accident. While getting insurance payouts can be difficult, The Law Office of Michael S. Johnson can secure the compensation you deserve.

What Are the Recent Changes to California’s Minimum Policy?

The Protect California Drivers Act increases the minimum liability of Insurance Policies in California for the first time in decades. The updated requirements increase liability limits by doubling previous limits for bodily injury or death claims and tripling the earlier limits for property damage claims. The new limits are:

• $30,000 for bodily injury or death (per person)
• $60,000 for bodily injury or death (per accident)
• $15,000 for property damage

Reasons Behind Changes in California’s Insurance Laws

Since 1967, California’s minimum auto insurance limits have remained the same, even as the cost of medical care, vehicle repairs, and property damage repairs has increased dramatically. As a result, many accident victims in California found that the at-fault driver’s insurance coverage did not cover much, leaving them responsible for unpaid medical bills, lost wages, and other costs.

The recent change in California’s minimum policy requirements was made to close the gap between damages and insurance coverage for victims. Higher limits mean more insurance coverage is available to compensate victims for their treatment and damages.

How New Insurance Limits Affect California Drivers

California’s increased minimum liability limits are intended to provide more financial protection and aid when someone is hurt in an accident. With more coverage available, accident victims have better access to compensation for important damages such as:

• Medical expenses
• Property damage and repairs
• Lost wages
• Pain and suffering

For at-fault drivers in California, the new requirements offer added protection as well. Higher liability limits may reduce how much the driver has to pay for damages out-of-pocket since the insurance company has a higher minimum liability limit.

Even with increased minimums, insurance coverage doesn’t always cover the total cost of an accident for victims in California, especially in the case of severe injuries or death. Insurance companies also continue to dispute liability and try to minimize claims, making it crucial that you hire a car accident lawyer who can fight to ensure you receive the payment you need.

Why You Should Hire a Car Accident Lawyer in California

Higher insurance limits in California offer better baseline protection than before the increase, but don’t guarantee that you’re fairly compensated after an accident. There are almost half a million car accidents each year in California, leaving billions of dollars of damage in claims. Big insurance companies are looking to minimize these payouts by disputing liability or overlooking damages.

Founding attorney, Michael S. Johnson, can advocate for your interests and help you by:

• Evaluating All Damages: From financial damages like medical costs, vehicle repairs, lost wages, and property damage, to damages like emotional trauma and physical injuries, a lawyer can identify a comprehensive list of damages and help you calculate fair compensation.
• Handling Paperwork and Legalities: After a car accident, learning about procedural requirements and filing insurance claims can be overwhelming, especially when you’re trying to heal. Having a lawyer who can manage your case while you recover from the trauma is essential and ensures you don’t make accidental mistakes or miss deadlines.
• Negotiating on Your Behalf: Insurance companies are looking to minimize your experience and lower payouts at all costs. Having a lawyer advocate for you and negotiate with insurers can make an immense difference in the outcome of your case.

FAQs

What Evidence Should I Collect After a Car Accident in California?

After being involved in a California car accident, you and your lawyer will need to collect thorough evidence to demonstrate the damages you’ve endured. Be sure to keep records of medical treatment, bills, and lost wages, as your lawyer can use that to calculate compensation. Photos of the accident scene and any damage, witness contact information, and the police report all play crucial roles in a car accident claim.

What Happens If the At-Fault Driver’s Insurance Doesn’t Cover My Injuries in California?

If the at-fault driver is underinsured, your lawyer can help you pursue other avenues of compensation. You may be able to file a claim through your own policy’s underinsured motorist coverage or against the at-fault driver directly. In some cases, there may be a second at-fault party that your lawyer can identify.

Do I Still Need a Lawyer If the At-Fault Driver Meets the New Minimum Requirements in California?

Even if the driver at fault carries the new minimum insurance, hiring a lawyer could help you identify any ongoing costs that may exceed those limits, negotiate with insurance companies, and pursue additional compensation. Having legal guidance ensures you aren’t pressured into a settlement that doesn’t cover all the damages and future costs from the accident.

When Should I Hire a California Car Accident Lawyer?

As soon as you suffer damages in a California car accident, you should hire a car accident lawyer who can assess your case and help you file a claim to secure compensation. Working with an experienced personal injury lawyer gives you the opportunity to identify all potential avenues for compensation as well as the opportunity to maximize your damages. A lawyer can protect your rights, negotiate with insurers, and fight for the compensation you deserve.

Learn How The Law Office of Michael S. Johnson Can Help You After a Crash

California’s recent increase in minimum liability insurance limits is a step toward better protection for accident victims across the state. However, higher insurance coverage can’t always guarantee that victims are fairly compensated by insurance companies. Contact The Law Office of Michael S. Johnson today to learn more about filing a car accident injury claim and securing the compensation you need to heal in California.