Important Update for California Drivers: Higher Minimum Auto Insurance Coverage Coming January 2025

Starting January 1, 2025, California’s new Senate Bill 1107 will raise the minimum liability insurance coverage required for all vehicles—personal, business, and recreational. This means that everyone on California roads will need more coverage to meet state requirements.

How Will This Affect My Insurance?

As of January 1, 2025, all auto insurance policies in California must meet new minimum liability limits, including coverage for uninsured motorists. The minimum coverage will increase to 30/60/15, which could impact your premium if you currently have lower limits. Most policies should automatically renew with these new limits, but it’s a good idea to check in with your insurance agent.

What Do the New 30/60/15 Limits Mean?

These numbers define the maximum your policy will cover in different situations:

• $30,000: Bodily injury coverage per person in an accident

• $60,000: Total bodily injury coverage for all persons in a single accident

• $15,000: Property damage coverage per accident

Why This Change?

California’s previous minimums have remained the same for over 56 years, even as healthcare and repair costs have risen. This update is designed to better protect drivers and keep up with current expenses.

Do I Need to Take Any Action?

Your insurance provider may have already adjusted your policy to comply with the new minimums. Still, now is a great time to reach out to your agent to review your coverage and confirm that these updates will be applied.

When Will the New Rates Show Up?

The new coverage limits kick in on January 1, 2025, so you’ll notice the changes when your policy renews after this date.

Stay informed and prepared to make sure your coverage is up to date with California’s latest requirements!

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