Topic 7 · Insurance and Financial Responsibility
After an accident, who determines fault if there is disagreement?
- Insurance companies (sometimes through arbitration) — correct answer
- The DMV
- Your bank
Why
Where drivers disagree, the insurers investigate and settle it between them, sometimes through arbitration.
Practise this in the real format
Reading one answer is not the same as sitting the test. The simulator runs the first-time adult form: 36 questions, 6 mistakes allowed, 83% to pass.
Source: California Driver's Handbook (DL 600, rev. 6/2025), the document the DMV writes the real test from. Edited by Fernando Aguilera. Aprobify is not affiliated with the California DMV.
More from Insurance and Financial Responsibility
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- You are required to carry proof of insurance:
- Can you be fined for not carrying proof of insurance even if you are insured?
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