If you’ve been in a car accident in the state of California which is a “fault” car insurance state, you can:

  • File your own insurance claim.
  • Pursue a lawsuit against the other driver directly (if the other driver is at fault).
  • Go after the at-fault driver’s insurance to seek compensation for your losses.

Auto Accident Rohnert Park, CAIn fact, when seeking a lawsuit or insurance claim against someone who is at fault for accident injury, there are very few restrictions. Whether you are the pedestrian, passenger or the driver you are free to take any of the actions listed above in the state of California. That fact differs in the “no- fault” states. In a no-fault state, someone who has been injured as a result of an accident would have to go to their car insurance company to cover expenses despite who may be at fault. That includes expenses such as medical bills and income loss.

So what does no-fault mean? Generally, no-fault disqualifies lawsuits and injury liability claims when it comes to smaller accidents. Instead, a direct payment by the injured person’s insurance company would be provided for expenses and possible wage loss (up to a specific amount). However no-fault does not cover vehicle damage. If the vehicle is damaged, you can file a liability claim against the at-fault driver, or you can use your own collision insurance to cover the vehicle damage.

Although the minimum requirement for anyone operating a vehicle in California is liability insurance, you can still carry more coverage if you choose to. Otherwise, your insurance will only cover up the maximum amount stated in your policy. Low-cost insurance is also available in California for those who cannot afford liability insurance. If eligible, you can enroll in the Low-Cost Automobile Insurance Program.

So what are the benefits of obtaining more than just liability insurance coverage? By adding collision and comprehensive insurance to your policy you can obtain the actual cash value of your vehicle and the existing outstanding balance on your lease or loan if your car is totaled. Sometimes unforeseen incidents occur during the early years of purchasing a new car such as an accident, flood, fire, theft, tornado, or hurricane.  If the actual cash value payment from your policy is less than your outstanding balance, then there is gap insurance that can cover the difference. Gap insurance provides protection if your car is totaled during the first years.