California Doubles Auto Insurance Minimum Requirements for 2025
California drivers need to be aware of significant auto insurance minimum requirement changes effective January 1, 2025. Senate Bill 1107 has increased the mandatory coverage limits to better protect drivers from rising medical and repair costs.
New Minimum Requirements:
- Bodily Injury Coverage Per Person: $30,000 (up from $15,000)
- Bodily Injury Coverage Per Accident: $60,000 (up from $30,000)
- Property Damage Per Accident: $15,000 (up from $5,000)
Woman driving car in California
These increases are necessary to keep pace with rising medical and repair costs, ensuring adequate protection for all drivers. However, this change will likely result in higher insurance premiums for many California drivers.
To manage increased costs, drivers should consider:
- Shopping around for competitive rates
- Bundling insurance policies
- Maintaining a good driving record
- Considering mechanical breakdown insurance (MBI) as a complement to traditional coverage
MBI Benefits:
- Covers mechanical failures not included in traditional auto insurance
- Available in California (unlike extended warranties)
- Helps manage overall vehicle ownership costs
- Provides additional protection beyond standard liability coverage
For California drivers seeking comprehensive protection, combining updated minimum liability coverage with MBI offers the most complete vehicle protection while helping manage long-term costs.
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Mechanical breakdown coverage for high-mileage vehicles
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