Topic 7 · Insurance and Financial Responsibility
What happens if you do not have insurance and are sued for accident damages?
- You are personally responsible and your license may be suspended if you don't pay — correct answer
- Your insurance company pays the claim
- The police handle payment
Why
You pay personally, and an unsatisfied judgment suspends your driving privilege until it is settled.
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
- If you get your license suspended after an uninsured accident, how soon can you get it back?
- In case of an unsatisfied legal judgment against you for an accident, your license may be:
- Which scenario will NOT result in suspension of your vehicle registration by DMV?
- A fix-it ticket for no proof of insurance can be cleared if:
- The purpose of liability insurance is to:
- Failing to exchange information after a minor accident, even if damage is under $1,000, is: