In California, as in many other states, CA car insurance is a mandatory requirement under new laws which came into force in 2006. Not only are all insurance companies supposed to supply information about all vehicles which they have under their care to the Department of Motor Vehicles, but the courts also have legal access to this information any way.

If there is no insurance in place for a certain automobile, then the vehicle can be legally suspended from the road and the owners can be fined. As a result of this, all drivers are required to carry proof that they have insured their vehicle with them at all times in their cars and they may be required to produce this at any time.

All of these measures were introduced so that all drivers could have peace of mind while they were driving. In so many cases, it becomes a real headache if a car which has an accident with yours is not insured, or the driver is not insured to drive that particular vehicle.

This is because, in some cases, although the registered driver may have full and comprehensive liability insurance, they may not be driving the vehicle at the time of the accident. A son, daughter, spouse or even distant relative or employee may have been behind the wheel at the time. This renders any policy void because the registered person was not there at the time. It is also situations like this in which there is more likely to be an accident. If there is only one vehicle with proven financial liability, then that person has to pick up the whole bill for the accident and in turn, it is extremely likely that their premiums will also increase.

There are several different types of liability which can be in place. The law requires any of the following: either $15,000 liability for any injury or fatality caused to another person or persons, or $5,000 for damage which may occur to any property as a result of any accidents which may occur.

If the Department of Motor Vehicles is ever notified that a policy has been completely canceled, then the driver and owner of the car has 45 days in which to ensure that another policy is in place. If this is not the case, then the vehicle registration could be suspended, which means that the driver is no longer legally able to drive the car on the public highways.

If a new automobile has not been insured within 30 days, then this can also result in a suspension of the registration. Finally, if the policy has been obtained by providing the company with any false information, then the registration can also be suspended.

This article has covered most of the legal requirements for CA car insurance. These laws are in place to ensure that drivers have peace of mind to know that should there be a collision or accident, then both parties will be covered with a financial liability to cover the costs due to the collision of injury, fatality or personal damage of any sort.

You can find details about CA car insurance requirements and excellent tips on how to get the cheapest Texas liability insurance rates, now.

You can find details about http://www.onlineautoinsurance.com/california/ CA car insurance requirements and excellent tips on how to get the http://www.onlineautoinsurance.com/texas/cheap-liability/ cheapest Texas liability insurance rates, now.

Author Bio: You can find details about CA car insurance requirements and excellent tips on how to get the cheapest Texas liability insurance rates, now.

Category: Finances
Keywords: CA car insurance, cheapest Texas liability insurance