If you're shopping for car insurance in California, you've probably seen those numbers: 30/60/15. They're the new minimum coverage requirements that took effect January 1, 2025—and they represent a significant change from the limits that had been in place for over half a century. But here's what most California drivers don't realize: even these increased minimums might not be enough to protect you if you cause a serious accident.
Let's break down what these numbers actually mean for your wallet and your financial security, and why you might want to consider going beyond the bare minimum.
Understanding California's New 30/60/15 Requirements
California's liability insurance requirements are expressed in a shorthand that can seem confusing at first. Those three numbers—30/60/15—represent three different coverage limits in thousands of dollars. The first number ($30,000) is the maximum your insurance will pay for bodily injury to one person in an accident you cause. The second number ($60,000) is the total maximum for all bodily injuries per accident. The third number ($15,000) covers property damage—like the other driver's car, a fence you hit, or a storefront you crashed into.
These limits doubled from the previous 15/30/5 minimums through Senate Bill 1107, also known as the Protect California Drivers Act. Why the increase? Simple: the cost of everything has gone up dramatically since the 1960s when the old limits were established. Medical care that might have cost a few thousand dollars back then now routinely runs into six figures. A fender bender that once caused $2,000 in damage can now easily exceed $15,000 when you factor in the advanced technology and sensors in modern vehicles.
Your policy automatically adjusted to these new minimums when it renewed in 2025, and yes, that means your premium likely increased. Drivers carrying minimum coverage saw rate increases of up to 54%, with average annual costs jumping from around $670 to over $1,000. But before you grumble about the extra cost, consider what you're actually getting for that money.
Why Minimum Coverage Often Isn't Enough
Here's the uncomfortable truth: if you cause an accident that seriously injures someone, $30,000 won't come close to covering their medical bills. A single night in a trauma center can cost $25,000 or more. Add in surgery, rehabilitation, lost wages, and pain and suffering, and you're easily looking at hundreds of thousands of dollars in damages. If your insurance only covers the first $30,000, guess who's on the hook for the rest? You are.
The same logic applies to property damage. Fifteen thousand dollars sounds like a lot until you're responsible for totaling someone's brand-new Tesla or crashing into a luxury SUV. Many newer vehicles have repair costs that exceed this limit, even for moderate damage. And if you cause a multi-car pileup? That $60,000 bodily injury limit per accident will get exhausted fast when multiple people are injured.
When your insurance limits are exceeded, the injured parties can sue you personally for the difference. That means your savings, your home, your future wages—all of it becomes fair game. A single serious accident with minimum coverage could bankrupt you, even though you thought you were following the law by carrying insurance.
Recommended Coverage Levels for California Drivers
So what should you actually carry? Most insurance professionals recommend at least 100/300/100 coverage—that's $100,000 per person for bodily injury, $300,000 per accident, and $100,000 for property damage. This provides a much more realistic safety net for serious accidents without being prohibitively expensive.
The average cost of full coverage insurance in California ranges from about $2,100 to $3,100 per year, or roughly $175 to $260 per month. That's definitely more than the $1,000 annual cost of minimum coverage, but consider what you're getting: comprehensive protection that includes collision coverage for your own vehicle, comprehensive coverage for non-accident damage like theft or weather, and significantly higher liability limits.
Another critical coverage to consider is uninsured and underinsured motorist protection. Despite California's mandatory insurance laws, many drivers on the road either have no insurance or carry only the bare minimums. If one of these drivers hits you and causes serious damage, their lack of adequate coverage becomes your problem. Uninsured/underinsured motorist coverage steps in to fill the gap, protecting you from other people's poor decisions.
If you have significant assets to protect—a home, substantial savings, or other valuable property—you might even want to consider umbrella insurance. This provides an extra layer of liability coverage beyond your auto policy, typically starting at $1 million in coverage for a relatively modest additional premium.
How to Get the Right Coverage for Your Situation
Choosing the right insurance coverage is a balancing act between affordability and protection. Start by taking an honest inventory of your financial situation. What assets do you need to protect? How much could you afford to pay out of pocket if you caused a serious accident? If the answer is "not much," that's exactly why you need higher coverage limits.
Get quotes from multiple insurance companies for both minimum coverage and the recommended 100/300/100 limits. You might be surprised at how reasonable the price difference is. Many insurers offer discounts for bundling multiple policies, maintaining a good driving record, or installing safety features in your vehicle. Shop around and ask about every available discount—they can significantly reduce your premium.
Remember that California will again increase minimum requirements in 2035 to 50/100/25. By choosing higher limits now, you're ahead of the curve and better protected. And here's the thing: insurance is one of those products where you really do get what you pay for. The cheapest policy is rarely the best value, especially when a serious accident could cost you everything you've worked for.
California's new minimum insurance requirements are a step in the right direction, but they're still just that—minimums. Think of them as the floor, not the ceiling. For real peace of mind on California's roads, consider going beyond the basics. Your future self will thank you if the worst happens and you're actually covered.
