Car crashes typically occur with little warning. All it takes is a momentary lapse in judgment or a failure to check before turning for something to go majorly wrong on the road. Cyclists and pedestrians are at particularly high risk in traffic, although anyone on the road can sustain injuries and significant property damage losses due to the negligence or misconduct of other people.
When motor vehicle collisions occur, most people expect to use liability insurance coverage to pay for their losses. What many people don’t realize until later is that there are quite a few uninsured drivers on the road in California. According to insurance claims data from 2022, California has the 11th-highest rate of uninsured drivers. A staggering 17% of motorists do not carry the liability coverage required by law. That rate may have gone up, as this last year has seen the implementation of higher minimum insurance requirements, which translates to higher overall costs.
Why do so many drivers break the law and get behind the wheel without insurance?
Coverage isn’t affordable
Many uninsured drivers point to the low coverage provided versus the significant expenses as the reason why they do not carry insurance. They view the annual policy expenses, which average $888 for minimum coverage, as unreasonable given the low coverage amounts provided.
Drivers only receive $30,000 worth of bodily injury coverage in case one person gets hurt or $60,000 worth of coverage in crashes when two or more people sustain injuries. That may not be nearly enough to protect them from liability. The same is true of the $15,000 in property damage coverage required.
Other people may not have thought about it that much. They simply view insurance as a frustrating expense and cancel their policies or stop making monthly payments as soon as possible after registering their vehicles. If people have to choose between paying their mortgage or paying for insurance, it is obvious which expense they are likely to view as more important. Unfortunately, the insurance decisions that people make can have major consequences for others.
Vehicle occupants, cyclists and pedestrians injured by uninsured drivers often have few options available to them. They may need to take legal action by filing a personal injury or wrongful death lawsuit. Occasionally, they may be able to seek compensation from third parties when a business may have somehow contributed to the crash.
Discussing the consequences of a motor vehicle collision caused by an uninsured driver with a skilled legal team can help people find ways to limit their economic losses.
