California Personal Injury Blog

Driving Without Car Insurance California (Is it legal?)

By Ralph Curtis
Dec 12, 2024
Auto Accidents
is-it-illegal-to-drive-without-insurance-in-california

California law (CA Veh Code § 160201) requires all drivers and vehicle owners to maintain proof of financial responsibility at all times. 

This means it is illegal to drive without the ability to be financially responsible for a car accident.

California law allows you to meet the financial responsibility requirement by:

  • purchasing traditional car insurance,
  • making a $75,000 cash deposit with the DMV
  • purchasing a surety bond for $75,000
  • a self-insurance certificate issued by the DMV, typically used by owners of large vehicle fleets

For most people, insurance remains the most practical and affordable choice.

Law enforcement can ask for proof of financial responsibility during a traffic stop. The DMV requires it when you renew your registration. And if you are involved in a car accident, you better have it ready.

What Happens If You Do Not Have Insurance or Proof of Financial Responsibility

Failure to produce proof of financial responsibility can trigger fines, license suspension, and even vehicle impoundment.

Even if you are in a car accident without insurance and not at fault, there can be severe consequences.

Under existing California law1, if you are involved in an accident that results in damages of over $1,000 to the property of any person or in any injury or fatality, you must file a report of the accident with the Department of Motor Vehicles within 10 days of the accident.

If you fail to file a report or fail to provide evidence of financial responsibility on the report, your driving privilege will be suspended for up to four years1.

California Offers an Alternative for Motorists Who Can’t Afford Insurance

Established in 1999, California’s Low Cost Auto Insurance Program (CLCA) requires drivers to meet income eligibility limits, have a clean driving record, and own a vehicle valued at $25,000 or less. Qualifying drivers are not required to purchase the higher standard liability limits. The basic policy provides liability limits of:

  • $10,000 per person bodily injury
  • $20,000 per accident bodily injury
  • $3,000 per accident property damage

Questions about an Accident with an Uninsured Driver?

The Northern California car accident lawyers at Curtis Legal Group can help answer your questions. Schedule a free consultation today.

Sources Cited:

  1. https://law.justia.com/codes/california/code-veh/division-7/chapter-1/article-2/section-16020/