Title: Why California’s minimum car insurance might not be enough
I get that it keeps costs down, but if one accident can wipe you out financially, is it really worth the risk?
That’s exactly what kept me up at night when I was shopping around. The minimums in California are like $15k for injury per person, $30k per accident, and $5k for property damage. Five grand doesn’t even cover a fender bender with a newer car these days. I used to think, “Hey, I’m a careful driver, what are the odds?” But then my friend rear-ended someone at a stoplight—barely a tap—and the other driver’s bumper sensors and camera system cost almost $4k to fix. That was just the property damage. If there’d been any medical bills? Yikes.
I totally get not wanting to pay more than you have to. I’m always looking for ways to save a buck. But I started thinking about what would actually happen if I caused an accident that was worse than just a little scrape. Like, what if someone got hurt and needed physical therapy or something? Medical bills add up fast, and if your insurance maxes out early, you’re on the hook for the rest.
I don’t think you need to go wild with coverage (some of those “premium” packages seem like overkill unless you’ve got a fancy car or lots of assets), but bumping up liability limits isn’t usually that expensive. For me, going from minimums to something like 50/100/50 only raised my monthly payment by maybe $10-15. That felt worth it for some peace of mind.
Honestly, it feels less like “throwing money away” and more like buying yourself some breathing room if things go sideways. The insurance companies definitely try to upsell with all sorts of extras (rental coverage, glass protection... pet insurance??), but higher liability limits are one area where it seems justified.
Curious if anyone here has actually had their insurance max out in a claim? I haven’t (knock on wood), but hearing those stories makes me feel better about not just going with the bare minimum.
I’ve worried about this too, especially since I drive an older car that’s not worth a ton but still want to make sure I’m covered if something goes sideways. You mentioned:
Five grand doesn’t even cover a fender bender with a newer car these days.
That’s so true. My neighbor’s Honda got tapped in a parking lot and the bill was over $6k just for the rear sensors and paint. It made me rethink things because even though my classic isn’t fancy, if I hit a Tesla or something? I’d be way out of luck with just the minimum.
I do try to keep my insurance costs low (every dollar counts when you’re restoring a car), but I bumped up my liability limits after seeing those repair bills. Didn’t add much to my premium either—definitely less than what I spend on parts in a month.
Still, sometimes I wonder if I’m overthinking it, since I’ve never actually had to file a claim above the minimums. But seeing how fast costs add up, it just seems safer to have that buffer.
Bumping up your liability limits was a smart move. I get where you’re coming from—restoring a car isn’t cheap, and every extra dollar on insurance stings a bit. But honestly, the way repair costs have gone lately, even a minor scrape can turn into a huge bill, especially if you end up hitting something with all those sensors and cameras. The minimums just don’t stretch as far as they used to.
- I’ve looked at the numbers, and for just a few bucks more per month, you can get a LOT more coverage. It’s not just about your own car’s value, but what you might be on the hook for if you hit someone else’s.
- My cousin had a similar situation—got rear-ended, and the other driver only had minimum coverage. The insurance ran out fast, and they were left haggling over the difference. Not fun.
- Even if you’ve never filed a big claim, it’s kind of like wearing a seatbelt: you hope you never need it, but if something goes wrong, you’ll be glad it’s there.
I wouldn’t say you’re overthinking it at all. The cost of accidents keeps going up, and honestly, I think a lot of people don’t realize how quickly those bills add up until it happens to them. It’s easy to feel like you’re paying for something you’ll never use, but the peace of mind is worth it—especially when the cost difference is so minor compared to the risk.
And hey, if you ever do have to file a claim, you’ll be glad you didn’t cut corners. It’s not just about protecting your own car, but making sure you don’t end up with a bill that could wipe out your savings or worse.
Just my two cents... but I think you made the right call upping your limits.
It’s wild how quickly costs add up now, especially with newer cars—one fender bender and you’re looking at thousands in repairs. I’ve seen people surprised by how little the minimums actually cover once a claim hits. Out of curiosity, has anyone here actually done the math on what bumping their limits would cost them per month? Sometimes it’s less than folks expect.
I’ve seen people surprised by how little the minimums actually cover once a claim hits.
Honestly, I’ve watched folks get hit with a $12k repair bill and their policy only covered a fraction. The minimums barely scratch the surface if you’re dealing with a newer car or a multi-car pileup. Funny thing is, I ran the numbers for my own policy—upping my limits was like $14 more a month. Not nothing, but way less than I expected. Still, some people just don’t want to pay a penny extra until it’s too late...
