Summary
- Minimum liability is 30/60/15 since January 1, 2025 (it was 15/30/5).
- Next increase: 50/100/25 on January 1, 2035.
- Rates are based mainly on your driving record, miles driven and years of driving experience. Gender isn't used, and credit scores aren't used for auto rates.
- Good drivers must be offered at least 20% off.
- Low-income drivers may qualify for the state's Low Cost Auto program.
- Carry proof of insurance in the car or on your phone.
Minimum required coverage: 30/60/15
California's Protect California Drivers Act (SB 1107) doubled the minimum liability limits for policies issued or renewed on or after January 1, 2025. Existing policies with the old limits moved to the new minimums at renewal.
| Coverage | Before 2025 | Since Jan 1, 2025 | From Jan 1, 2035 |
|---|---|---|---|
| Injury or death, one person | $15,000 | $30,000 | $50,000 |
| Injury or death, per accident | $30,000 | $60,000 | $100,000 |
| Property damage | $5,000 | $15,000 | $25,000 |
The minimum is a legal floor, not a recommendation. A single hospital stay or a crash involving a newer car can cost more than these limits, and you can be held responsible for the difference. Try the minimum coverage calculator to see how it plays out.
What's coming next
- 2035 minimum increase. Limits rise to 50/100/25 on January 1, 2035. Expect insurers to adjust policies at renewal around that date.
- Proposition 103 stays in place. A proposed 2026 ballot initiative to repeal Prop 103 and change how rates are approved was withdrawn in December 2025 and is not on the November 2026 ballot. Rate changes still need approval from the elected Insurance Commissioner.
- Rates keep changing. Insurers file rate changes with the Department of Insurance throughout the year, so it's worth comparing quotes at renewal.
How California car insurance rates are set
Proposition 103 (1988) requires auto rates to be based mainly on three factors, in this order of importance:
- Your driving safety record
- The number of miles you drive each year
- Your years of driving experience
Insurers can use other factors the Insurance Commissioner approves, such as the car you drive and where it's kept, but those must weigh less than the three above. Since January 2019, gender can't be used to set auto rates in California, and credit scores aren't used for auto rates.
The Good Driver Discount
If you qualify as a good driver under California law, insurers must offer you a rate at least 20% below what you'd otherwise pay for the same coverage, and they can't refuse to sell you that policy. Qualifying generally depends on years licensed and a clean recent record; the exact rules are in Insurance Code §1861.025. Ask any agent whether you qualify.
Low Cost Auto Insurance Program
California's Low Cost Auto (CLCA) program offers basic liability coverage to drivers who:
- Have a valid California driver's license
- Meet the program's income guidelines
- Own a car worth $25,000 or less
- Are at least 16 (applicants under 18 must be emancipated)
- Have a good driving record, or are a new driver
CLCA limits are 10/20/3, which is lower than the standard minimum but still meets the law for program participants. Apply at mylowcostauto.com or call 866-602-8861.
Proof of insurance
Keep proof of insurance in the car. California accepts a paper ID card or proof shown on your phone. You'll be asked for it at traffic stops, after an accident, and when you register a vehicle. Driving without insurance can lead to fines and vehicle impound, and if you're in a collision without coverage, the DMV can suspend your license for up to four years, no matter who was at fault.
After an accident
- Exchange names, licenses, insurance and vehicle details with the other drivers.
- Report the accident to the DMV on form SR-1 within 10 days if anyone was injured or killed, or if property damage was more than $1,000. Each driver must file it, even if you weren't at fault and even on private property. Police don't file it for you.
- Notify your insurance company as your policy requires.
Where to get help
- Check an agent's license before you buy, on the California Department of Insurance website. Licensed California agents must show their license number on business cards, quotes and emails.
- Problems with an insurer or claim: the Department of Insurance consumer hotline is 800-927-4357.
Common questions
What are California's minimum car insurance limits in 2026?
30/60/15: $30,000 for injury or death of one person, $60,000 for injury or death of more than one person in an accident, and $15,000 for property damage. These took effect January 1, 2025 under SB 1107.
Will California's minimum car insurance go up again?
Yes. Under the same law, the minimums are scheduled to rise to 50/100/25 on January 1, 2035.
Can California insurers use my credit score or gender for car insurance?
Auto rates in California are based mainly on your driving record, miles driven and years of driving experience under Proposition 103. Credit scores are not used to set auto rates, and gender has not been allowed as a rating factor since January 2019.
What is the California Good Driver Discount?
Under Proposition 103, drivers who qualify as good drivers must be offered a rate at least 20% lower than they would otherwise pay for the same coverage, and insurers can't refuse to sell that policy to a qualifying driver.
Is there low-cost car insurance in California?
Yes. California's Low Cost Auto Insurance Program offers liability-only policies to income-qualified drivers with a good driving record and a car worth $25,000 or less. Coverage limits are 10/20/3. Visit mylowcostauto.com or call 866-602-8861.
Sources
- California Insurance Code §1861.02 (rating factors, Good Driver Discount)
- California Department of Insurance: gender no longer used in auto rates (2019)
- California Department of Insurance: Low Cost Auto Insurance Program
- California's Low Cost Auto Insurance Program
- State Farm: Understanding California's new auto liability coverage law
- Ballotpedia: California New Insurance Market Regulations Initiative (2026)
- California DMV Driver Handbook: Financial responsibility, insurance requirements and collisions
- California Department of Insurance consumer help