blog home Car Accident How Senate Bill 1107 Affects Car Insurance Claims

By Renee Nordstrand on August 17, 2022

filling out insurance form

If you’re a California driver, Senator Bill Dodd’s new auto liability insurance reform bill could have a big impact on your life. Signed into law by Governor Newsome on September 28, 2022, Senate Bill 1107 will dramatically increase the minimum levels of auto insurance coverage available for accident victims.

This action was long overdue, as these rates haven’t been adjusted for 55 years! The new rules will improve liability coverage for all California drivers who may be involved in an accident.

At NordstrandBlack PC, we’ve long advocated raising liability coverage, which has been rendered inadequate by five and a half decades of inflation. The new coverage minimums will take effect on January 1, 2025.

Senate Bill 1107 Will Protect Accident Victims?

California has one of the lowest minimum liability rates in the nation. In fact, only four states currently have requirements that are as low or lower.

SB 1107 substantially raises the minimum amount of coverage amount that insurers must provide in the following areas:

  • Liability for single injury or death – from $15,000 to $30,000
  • Liability per accident – from $30,000 to $60,000
  • Property damage – from $5,000 to $15,000

With the high cost of medical care and auto repair work, the current liability levels are far too low. Automobile accident victims are often required to bear a large portion of their own expenses after an accident. The new legislation will address this problem.

SB 1107 was supported by the California Alliance for Retired Americans (CARA) and Consumer Attorneys of California (CAOC). Michael Nye, CARA’s legislative committee co-chair says, “It isn’t right that automobile and motorcycle crashes often leave the victim crushed by a mountain of debt, simply because a 55-year-old California law allows insurers to offer inadequate products that don’t even come close to covering the victim’s medical costs, loss of income, or vehicle repairs.”

We’re on Your Side

If you’ve been hurt in a car accident, contact the personal injury trial lawyers at NordstrandBlack PC right away. Our team will investigate the accident and file a claim to help you get the money you need to pay your medical bills and other expenses.

Call (805) 962-2022 and schedule a FREE consultation today. At NordstrandBlack PC, we’ve won million of dollars in settlements for our clients. And you don’t pay anything unless we win you a settlement.

Posted in: Car Accident