Livermore Car Insurance

In the early days, Livermore California was a farming, ranching and wine producing community located halfway between the San Francisco Bay and the California Central Valley.

The Livermore area is the oldest wine region in California and Livermore is the easternmost city in the San Francisco Bay region.

Today's Livermore is most famous for the Lawrence Livermore National Laboratory and is also known as a convenient suburb to several economic hubs as well as being convenient to both San Francisco and Lake Tahoe. Livermore is in the California county of Alameda.

Since Livermore drivers are California drivers, car insurance laws and prices in Livermore are directed by California state law.

Many people unfamiliar with car insurance prices in California expect insurance premiums to be higher, possibly because of the number of licensed drivers and the high cost of living that California is notorious for.

Actually, car insurance prices in the state of California are surprisingly reasonable. Licensed drivers in Livermore enjoy many consumer protections guaranteed by state law as well as a broad selection of insurance providers.

In 1988, California voters passed a law intended to reign in car insurance premiums that were rapidly escalating.

As a result of the law’s passage, insurance companies were required to cut their rates by 20 percent and any rate increases had to be approved by the Department of Insurance. Included in the law was the requirement that all good drivers had to be offered a 20 percent discount.

Good Driver Discount Qualifications

The following are necessary qualifications for anyone pursuing the Good Driver discount:

• Insured must have been a licensed driver for at least three years.
• Driver had taken a state authorized safe driving class for every traffic violation after the first violation in preceding three years.
• Driver has not been the at-fault driver in a car accident resulting in injury or death.

Part of the law also said that it was illegal to use credit history to determine the amount charged for car insurance premiums. Other issues may affect insurance premiums more because of this requirement.

Driving record, age, city or town of licensed driver and the make and model of the insured vehicle affect California premiums more than in other states. Livermore is not a California city that is known for high insurance premiums.

All licensed drivers in California must carry minimum bodily injury liability insurance coverage of $15,000 per person with a total of $30,000 in coverage per accident for injuries sustained by individuals other than the driver and passengers that are not members of the drivers family.

Property damage liability is $5,000 per accident. Drivers are also required to carry uninsured and underinsured motorist coverage.

Low-income drivers in California who are at least 19 years of age and have good driving records can get car insurance through California's Califonia's Low-Cost Auto Insurance program.

Driver Classifications

Insurance prices are determined by driver classifications. Years of driving experience, gender, and marital status affect premiums the most. As drivers mature in age and experience, there are significant reductions in car insurance costs.

Because insurance rates are not regulated, drivers who shop regularly as they age or change their marital status often find savings.

After gender, marital status, and age are taken into account. Premiums are also affected by the amount of miles driven per year and driving records.

Premiums are also affected by the amount of miles driven per year and driving records. Driving records are taken into account in three-year increments. Traffic tickets and at-fault accidents will result in increased premiums for 36 months following each incident.

The State of California publishes a standard premium chart for easy comparison. High-risk or high-mileage drivers must get quotes directly from insurance providers.

What Livermore Drivers Pay for Car Insurance

• Basic Coverage

Amber, a 21-year-old college student with a part-time job, drives a 2002 Ford Focus. Amber gets a basic liability policy through USAA because her father is retired from the Navy. She pays $32 per month for the legal minimum which has a $1,000 deductible.

Because Amber is over 19 years old and is low income, she qualifies for the state low-income auto insurance program but gets a better price through USAA. After Amber rear-ended another driver while waiting to exit a parking lot, she expected her premiums to increase and was pleased that they did not.

The following March, she received a speeding ticket and her monthly premium increased from $32 to $34.

Amber marries Nick who drives a 2011 Mazda Cx. Before they marry, Nick is paying $109 per month to Mercury Insurance for basic coverage which includes a $500 deductible, $50,000 per person and $100,000 per accident injury coverage and $25,000 per person with $100,000 per accident for uninsured motorist.

Nick also has a $50 towing benefit with the basic coverage policy.

By changing their status to a married couple with a multi-car discount, Amber gets upgraded to basic coverage and the total monthly premium for the pair is $133 per month with USAA as opposed to $162 per month with Mercury. AAA charges $328 per month and Farmers Insurance wants $495 for very same coverage.

• Extended Coverage

Joan, age 43, is single and drives a 2012 Mercedes C350. In July, Joan received a ticket for careless driving and her extended coverage monthly premium increased from $89 per month to $117 with Mercury insurance.

State Farm charges someone like Joan $172 per month and if Joan had a military connection, USAA would give her this coverage for $182 per month. Farmers Insurance charges $249 per month for this same policy.

Jason, Joan’s son, celebrated his 16th birthday and Joan purchased a 2004 Volvo S40 as his first car. Mercury wants $310 per month to add Jason and his new car.

Joan learns that Farmers Insurance will charge $717 per month, but after careful shopping, she finds that AAA will give her an extended coverage policy for herself, Jason and the two cars for $248 per month. Joan switches insurance providers as soon as her policy comes up for renewal.

• Premium Coverage

Anne and Steve, ages 62 and 66, own a 2012 BMW 328 xi, 2013 Honda Fit and a 2002 Ram 3500 pick-up truck. Steve was driving the truck in an at-fault accident where the other driver was injured last March.

Neither Anne nor Steve had received any traffic tickets or been involved in any other car accidents in that same 3 year period.

AAA would give them premium coverage for $212 per month on all three vehicles. Because Anne and Steve have been with Farmers Insurance for the past 20 years, they are not interested in changing agents and prefer to pay Farmers Insurance $327 per month for their premium level policy.

Premium level insurance provides the greatest protection and the lowest deductibles.

Premium includes $250,000 per person and $500,000 per accident for bodily injury, $250,000 per person and $500,000 per accident for uninsured motorist, $75 towing allowance and $900 to pay for a rental car. The deductible is $250.

For Anne and Steve who own property and have other assets, this insurance will cover almost any accident without the likelihood of a lawsuit threatening their hard-earned financial security.

State regulations combined with rate competition between insurance companies do a very good job of keeping Livermore car insurance prices reasonable when consumers shop and compare.

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