California Insurance Claims
Most of what determines whether an accident is financially survivable is decided by insurance policies written long before it happened. Here is how the California system actually works.
The short answer
California requires drivers to carry at least $30,000 per injured person, $60,000 per accident and $15,000 for property damage, raised from much lower figures on 1 January 2025. California is not a no-fault state, so the at-fault driver's insurer generally pays, and your own uninsured and underinsured motorist coverage is what protects you when theirs is not enough.
What every California driver must carry
Since 1 January 2025 the legal minimum is $30,000 for injury to one person, $60,000 for injuries in one accident, and $15,000 for property damage. The previous minimums, in force for decades, were $15,000, $30,000 and $5,000.
The change applied as policies were issued or renewed through 2025 rather than instantly on 1 January, so a crash involving an older policy may still be governed by the old figures. The minimums rise again in 2035.
Treat these as a legal floor rather than adequate protection. A single serious injury routinely exceeds $30,000 in medical costs alone, and when it does, the shortfall does not disappear. It lands on the injured person.
California is not a no-fault state
This matters more than almost anything else on this page. In a no-fault state your own insurer pays your medical costs regardless of who caused the crash. California does not work that way. Responsibility follows fault, which is why the fault assessment carries so much weight and why the process takes as long as it does.
The coverage that protects you from everyone else
Uninsured motorist coverage is the part of your own policy that steps in when the person who hit you had no insurance, cannot be identified, or whose insurer denies coverage or fails. It must be included in every California auto liability policy unless you deleted or reduced it by signed written agreement.
A great many people have signed it away without remembering. It is worth reading your declarations page today rather than finding out afterwards. An estimated 17 per cent of California motorists were uninsured as at 2022, on an insurance industry model rather than a government count.
Underinsured motorist coverage, and the part nobody explains
Underinsured motorist coverage is for when the other driver has insurance but not enough. In California it works differently from many other states, and the difference is the single most commonly misstated point in this area.
California underinsured motorist coverage is gap coverage, not additional coverage. It brings your total recovery up to your own limit; it does not stack on top of what the other driver paid. If you carry $100,000 and the at-fault driver pays their $30,000, your own insurer pays at most $70,000, not $100,000.
The consequence follows inescapably: if your underinsured motorist limit is the same as or lower than the at-fault driver's liability limit, this coverage pays you nothing at all. Someone carrying the state minimum who is hit by someone else carrying the state minimum has no underinsured benefit whatsoever. If you take one practical step after reading this page, checking that limit is a strong candidate.
Medical payments coverage
Medical payments coverage pays medical costs for you and your passengers regardless of who caused the crash. California does not require it, and the smallest limit sold is $1,000, which one emergency department visit can exhaust. It is not personal injury protection and it does not replace lost earnings.
What the insurer has to do, and by when
California insurers must acknowledge a claim, provide the necessary forms, and begin investigating within 15 calendar days. They must accept or deny the claim within 40 calendar days of receiving proof of claim, in writing, listing the reasons. If more time is genuinely needed they must say so in writing and update you every 30 days.
They must also conduct a thorough, fair and objective investigation, and must not persist in seeking information that is not reasonably required to resolve the claim.
One caveat on how much this is worth in practice: these standards are enforced by the California Department of Insurance rather than by you personally, so the route when an insurer is not meeting them is a complaint to the Department.
Driving uninsured has a specific, severe consequence
If you were uninsured, or owned an uninsured vehicle involved in the crash, you generally cannot recover pain and suffering at all, even if the other driver was entirely at fault. You can still recover economic losses such as medical bills, lost earnings and vehicle damage. There is a narrow exception where the other driver is convicted of driving under the influence.
A short list worth acting on
Read your declarations page. Confirm you have uninsured and underinsured motorist coverage. Check that your underinsured limit is meaningfully higher than the state minimum, because if it is not, it will not pay. These are cheap decisions before an accident and impossible ones afterwards.
At a glance
Each row links to the law it comes from. Deadlines depend on your specific circumstances.
| Situation | Deadline | What it means |
|---|---|---|
| Minimum liability limits Cal. Veh. Code § 16056; SB 1107 (2022) | $30,000 / $60,000 / $15,000 | Since 1 January 2025 California drivers must carry at least $30,000 for injury to one person, $60,000 for injuries per accident, and $15,000 for property damage. The previous minimums were $15,000, $30,000 and $5,000. The new limits took effect as policies were issued or renewed during 2025, not instantly on 1 January. These are legal minimums, not adequate cover: serious injuries routinely exceed $30,000. Limits rise again to $50,000, $100,000 and $25,000 in 2035. |
| Uninsured motorist cover Cal. Ins. Code § 11580.2(a) | Included unless declined in writing | Uninsured motorist coverage must be included in every California auto liability policy unless you delete or reduce it by signed written agreement. Check your declarations page. Many people have signed this away without remembering doing so. |
| Underinsured motorist cover Cal. Ins. Code § 11580.2(p) | Gap cover, not extra cover | California underinsured motorist coverage fills the gap up to your own limit rather than stacking on top of the at-fault driver's payment. If you carry $100,000 and the at-fault driver pays $30,000, your own insurer pays at most $70,000. This is the consequence most people are not told: if your underinsured motorist limit is the same as or lower than the at-fault driver's liability limit, this coverage pays you nothing at all. |
| Medical payments cover California Department of Insurance, Automobile Insurance Guide | Optional | Medical payments coverage pays medical costs for you and your passengers regardless of who caused the crash. California does not require it, and the minimum limit sold is $1,000. California is not a no-fault state. This is not personal injury protection and it does not replace lost earnings. |
Deadlines depend on the specific facts of your situation and there are exceptions to every rule listed here. This is general information, not legal advice about your case.
Questions people ask
Your own underinsured motorist coverage is the usual route, subject to the gap rule explained above. Medical payments coverage, health insurance, and a claim against any other responsible party may also be relevant.
Premium setting is a matter for each insurer and depends on the circumstances. It is a fair question to ask your own insurer directly before deciding how to proceed.
Using your own coverage is usually faster, and your insurer then pursues the other side for reimbursement. The trade-off is your deductible, which is often recoverable afterwards. Which is better depends on how clear fault is and how quickly you need the vehicle.
There is no standard answer. Vehicle damage often resolves in weeks. Injury claims usually cannot sensibly be settled until the medical position is clear, which can take months, because settling early risks agreeing a figure before the full extent of the injury is known.
Not sure how this applies to you?
Answer a few questions about what happened and see the guidance that matches your situation.
CalAccidentHelp is not a law firm and does not provide legal advice. Submitting information does not create an attorney-client relationship.
Sources
Every statement on this page traces to one of the following. Where a source is not the issuing body itself, that is noted.
- Cal. Veh. Code § 16056; SB 1107 (2022). California Department of Insurance, New Year Means New Changes for Insurance Official source Checked 20 August 2026.
- Cal. Ins. Code § 11580.2(a). FindLaw, California Insurance Code § 11580.2 Secondary source Checked 20 August 2026.
- Cal. Ins. Code § 11580.2(p). FindLaw, California Insurance Code § 11580.2 Secondary source Checked 20 August 2026.
- California Department of Insurance, Automobile Insurance Guide. California Department of Insurance, Automobile insurance basics Official source Checked 20 August 2026.
- 10 Cal. Code Regs. §§ 2695.5, 2695.7. California Department of Insurance, I had an automobile accident Official source Checked 20 August 2026.
- Insurance Research Council, via Insurance Information Institute. Insurance Information Institute, Facts and statistics: Uninsured motorists Secondary source Data year 2022, California, statewide. An insurance industry model, not a government count. It infers uninsured driving from the ratio of uninsured motorist claims to bodily injury claims. Checked 20 August 2026.
- Cal. Civ. Code § 3333.4 (Proposition 213). FindLaw, California Civil Code § 3333.4 Secondary source Checked 20 August 2026.
Some statutory text above was read from an established legal database rather than the Legislature's own site, which blocks automated access. The wording was cross-checked across multiple databases and against official California guidance. If you are relying on the exact text, read it on the Legislature's official site.