Is California A No-Fault State?
At-fault or no-fault refers to whose insurance will pay for the injuries and damage done in a car accident. The majority of US states, including California, are at-fault states, meaning the person at fault for an accident is responsible for the injuries and property damage caused to others.
At-fault states require drivers to carry liability insurance or other proof of financial responsibility. When car accidents occur, fault is apportioned, and each liable party must pay their share. Fault for an accident is often a hotly contested issue because insurance companies don’t want to pay, while injured claimants want to maximize their compensation.
Auto Insurance Requirements in California
All drivers on California’s roads are required to carry proof of financial responsibility in their vehicles. Most drivers meet the state’s requirement by purchasing motor vehicle liability insurance. The current minimum liability insurance requirements are:
- $30,000 for injury or death to one person
- $60,000 for all injuries and deaths from an accident
- $15,000 for property damage
Included with auto liability quotes in California are two optional first-party coverages. Insurance companies must offer uninsured motorist (UM) coverage, but drivers can decline it in writing. Med Pay is completely optional and covers medical expenses incurred by the insured and any passengers in the vehicle, regardless of fault.
What Happens When an At-Fault Driver is Uninsured?
According to the Insurance Information Institute (III), based on 2023 statistics, just over 15% of drivers on US roads are uninsured. The numbers are a little higher in California, with 20.4% of the state’s nearly 28 million licensed drivers, or almost 6 million drivers, uninsured.
If you get in an accident with an uninsured driver, you may get stuck with the expenses of the accident. That’s why it makes good sense to purchase uninsured motorist coverage.
The downside to making an uninsured motorist claim is that your position and your insurer’s position become adversarial because they step into the shoes of the uninsured motorist. Instead of being on your side, your insurance company is now looking for ways to minimize the money they have to pay you. This battle can be successfully fought with an experienced San Diego car accident lawyer on your side.
You may be able to file a lawsuit directly against the uninsured driver, but chances are they don’t have many assets if they are willing to risk driving without insurance.
What Happens If an Uninsured Driver is Not At-Fault
If a driver is uninsured at the time of an accident and not at fault, the driver can still make an injury claim for economic damages, such as medical bills or lost wages. However, those who drive without insurance are generally not allowed to recover non-economic damages such as pain, suffering, or inconvenience as a result of their injuries.
A big exception exists if the at-fault driver was intoxicated at the time of the accident and is convicted of a DUI-related offense. In that case, an uninsured driver may seek to recover both economic and non-economic damages.
Why Establishing Fault after a Car Accident is Critical for Recovering Damages
Determining fault is the all-important first step for recovering damages after a car accident. Fault determines who will pay, and it can limit the amount recoverable as damages.
California is a pure comparative fault state. A percentage of fault is assigned to each person who contributes to an accident. If a person claiming damages is assigned a percentage of fault (less than 100%), they can still recover, but that percentage will reduce any recovery.
Strategic preparation and aggressive negotiations regarding fault can improve injury recoveries and help keep post-accident insurance premiums manageable.