On Sep. 30, CAL LEG increased minimum mandatory car insurance.
CAL LEG enacted bill SB 1107 adding Sec 13960 to CAL LEG Insurance Code, and changing other sections., to revise mandatory auto insurance coverage requirements.
Increased, as of Jan. 1, 2025, the minimum amounts of certain insurance coverages that auto owners must maintain on their vehicles or for their driving purposes.
Bill Provisions
By Jan. 1, 2025, liability insurance coverage for owner/operator of vehicle must be $30K for injury or death of one person, $60K for all persons, $15K property damage.
Instead, owner/operator may deposit $75K with the Department of Motor Vehicles.
Schedule for Implementation
By Feb. 1, 2023, the insurance Commissioner must send solicit rate applications.
Applications to be due Jul. 1, 2023, with rate change to be effective on Jan. 1, 2025.
On Jan 1, 20235, minimum liability coverage would increase by $20K and $40K respectively and by $10K for property; minimum deposit would increase by $50K.
Legislative History
On Feb. 16, 2022, bill introduced in Senate; on May 25, 2022, Senate passed bill.
On May 26, 2022, bill introduced in Assembly; on Aug. 18, 2022, passed Assembly.
On Aug. 26, 2022, bill was enrolled and presented to governor for approval at 2 p.m.
