I Need Auto Insurance in California – Cheap!

Reader question:

What is way to get auto insurance in California other than getting it from a car insurance company?

Megan

Thanks for asking, Megan.

Getting your auto insurance in California with a licensed car insurance company or through some other Californian state auto insurance program are most certainly the easiest ways to get car insurance coverage in California, and most people wouldn’t have the money to do it any other way. However, California car insurance law does allow for more than one way, and one of the other ways is to get a surety bond. You can get this from a company that is licensed by the state, just as if you were getting your auto insurance in California from an actual insurance company.

These surety bonds are usually purchased by people who own a small business, not normally by those that are insuring a private car. Another option for small business owners is group commercial car insurance. Auto insurance in California law allows a surety bond to be purchased for at the least $35,000. This is equivalent to the minimum liability coverage, so if you want to have more coverage then you should purchase a larger bond.

Another way to get auto insurance in California without having to go through a car insurance company is to simply deposit the $35,000 minimum coverage with the department of motor vehicles for the state. Or, as another way, you could go the self insurance route. In order to do this you have to get a certificate from the department of motor vehicles showing that you are self insured. Remember, though, that whatever kind of insurance you get, you still have to be able to show proof of it when you are pulled over by a police officer or you get into a car accident. Proof can be your car insurance card, or your certificate of self insurance, your surety bond, whatever, so long as it is accepted proof by the department of motor vehicles.

Cheers,

Fashun Guadarrama.