California Towing Laws and AB 987 Fee Limits 2026

What Are California Towing Laws and Why They Matter?

California towing laws protect your wallet and your rights. These rules set clear limits on what tow companies can charge you. They also make sure you're treated fairly if your car gets towed.

AB 987, the main law governing towing in California, went into effect in 2016. It's been updated several times since then to keep pace with rising costs.

Without these laws, tow operators could charge whatever they wanted. You'd have no recourse if overcharged. That's why understanding these rules matters for every California driver.

What Is AB 987 and How Does It Work?

AB 987 is California's landmark law regulating the towing industry. It sets maximum fees, requires written notices, and protects consumers from predatory practices.

The law applies to most towing situations in California. Whether your car's towed from private property or a public street, AB 987 rules apply.

This law gives you specific rights. You can dispute charges, request itemized receipts, and even file complaints with the Bureau of Automotive Repair.

The law also requires tow companies to be licensed and insured. This means you're dealing with legitimate, regulated operators—not fly-by-night services.

What Are the Maximum Towing Fees Under California Law?

California caps towing fees to prevent price gouging. Here's what you need to know about maximum charges:

• Standard passenger vehicles: Up to $150 for the first tow
• Heavy-duty vehicles: Up to $200 for the first tow
• Long-distance tows: Additional mileage charges apply (varies by situation)
• After-hours towing: Can be higher but still regulated

These caps apply whether your car's towed from private property or a public street. If a tow company charges more, you can file a complaint.

Important: Some specialized services cost extra. Winching a car out of a ditch or towing from a freeway might have additional fees. But the base towing charge stays capped.

How Much Can Storage Fees Cost in California?

Storage fees are where tow companies often overcharge. California law sets strict limits on these charges.

Daily storage fees are capped at $50 per day for most vehicles. This includes weekends and holidays. You pay the same amount whether it's Tuesday or Sunday.

Some tow yards charge administrative fees too. These are capped at $35 per day. So the maximum daily charge is $85 total (towing plus storage).

Here's the thing: Storage fees start adding up fast. After 10 days, you're paying $500 just in storage. That's why it's crucial to retrieve your vehicle quickly or dispute unreasonable charges.

If you can't retrieve your car right away, contact the tow yard in writing. Ask for a payment plan or negotiate lower fees. Many yards will work with you to avoid losing your business.

What Are Your Rights Before Your Car Gets Towed?

California law requires tow companies to follow specific procedures before towing your car from private property.

Required Notice and Signage

Before towing from private property, the property owner must post clear signs. The signs must show:

• Towing will occur for violations
• Maximum towing fee amounts
• Tow company name and phone number
• Where towed vehicles are stored
• Business hours of the storage facility

Signs must be at least 17 inches by 22 inches. They must be visible from the parking area. If signs are missing or unclear, the tow might be illegal.

Written Notice Requirements

The tow operator must give you written notice before towing. This notice must include:

• Reason for the tow
• Maximum fee amount
• Storage location and hours
• Right to dispute the tow

You have the right to refuse the tow if notice wasn't properly given. Document everything—take photos of the scene and any signs.

What Happens During an Accident Tow in California?

Accident tows are handled differently than parking violation tows. You have more control over which company tows your car.

After an accident, police or the responding officer typically calls a tow company. But here's your right: You can request your own tow company. The police can't force you to use their recommended operator.

If you have roadside assistance through AAA or your insurance, call them immediately. They'll send their preferred provider. This often saves you money because insurers negotiate better rates.

If police have already called a tow company, you can still change it. Contact the tow yard and arrange for your preferred company to pick up the vehicle. You'll pay a transfer fee (usually $25-$50), but it's worth it if you save on other charges.

Document the accident scene. Take photos of your vehicle, the damage, and the location. This helps if you need to dispute towing charges later.

Can Tow Companies Charge Extra Fees Beyond the Base Rate?

Yes, but California law limits what they can charge. Here's what's allowed and what's not:

Allowed Additional Fees

• Mileage charges for long-distance tows (over 10 miles)
• Winching or extraction services (vehicle stuck or damaged)
• Gate fees at secure storage facilities
• After-hours service charges (limited increases)
• Hazmat handling (if applicable)

Prohibited or Limited Fees

• No charges for waiting time
• No "drop fees" for deciding not to tow
• No fuel surcharges beyond normal costs
• No charges for providing your contact information

Any extra fees must be disclosed before towing. If a company charges surprise fees later, you can dispute them through the Bureau of Automotive Repair.

What Should You Do If You're Overcharged for Towing?

If a tow company charges more than California law allows, you have options. Here's how to fight back:

Step 1: Request an Itemized Invoice

Ask the tow company for a detailed breakdown of all charges. They must provide this in writing. Review it carefully against California fee caps.

Step 2: Contact the Tow Company in Writing

Send a formal dispute letter. Include the invoice, your evidence, and the applicable fee limits. Give them 10 days to respond or adjust the charges.

Step 3: File a Complaint with the Bureau of Automotive Repair

If the company won't adjust charges, file a complaint with California's Bureau of Automotive Repair. You can file online or by mail. Include documentation of the overcharge and your dispute letter.

Step 4: Consider Small Claims Court

For overcharges under $5,000, small claims court is an option. You don't need a lawyer. The filing fee is usually $30-$100. Many overcharge disputes are settled before trial.

Pro tip: Pay with a credit card if possible. You can dispute the charge with your card company while pursuing other remedies.

How Do California Towing Laws Compare to Other States?

California has some of the strongest towing protections in the nation. But rules vary significantly by state.

Some states have no fee caps at all. Others allow storage fees of $100+ daily. California's $50 daily storage limit is actually quite consumer-friendly.

If you're dealing with towing in multiple states, check state-specific towing laws for each location. What's allowed in Nevada might be prohibited in California.

For a complete breakdown of national towing regulations, review maximum towing rates by state. This helps you understand your protections wherever you drive.

What Rights Do You Have for Private Property Tows in California?

Private property tows—like from an apartment complex or parking lot—have specific rules in California.

Property owners can authorize towing for violations. But they must follow AB 987 procedures. This means proper signage, written notice, and fee caps still apply.

You have the right to dispute a private property tow if:

• Signs weren't posted or visible
• You weren't given written notice
• The violation didn't actually occur
• Charges exceeded legal maximums
• Your vehicle was towed without authorization

If your car was towed from private property illegally, you can sue the property owner or tow company. Document everything—photos, witness statements, and any communications.

Learn more about your rights in our guide on private property towing laws by state.

How Can You Protect Yourself From Towing Issues?

Prevention is always better than dealing with overcharges later. Here's how to protect yourself:

Get Roadside Assistance Coverage

AAA, insurance companies, and roadside service providers negotiate better towing rates. With coverage, you're protected from surprise charges. Best roadside assistance options vary by provider, so compare plans.

Know Where You're Parking

Read parking signs carefully. Look for towing warnings. If signs aren't clear, park elsewhere. Five minutes finding a safe spot beats a $200 towing bill.

Keep Important Numbers Handy

Store your insurance company's roadside assistance number in your phone. Also save the Bureau of Automotive Repair contact info. You'll need it if problems arise.

Document Everything

If your car gets towed, take photos of the location, signs, and any damage. Get the tow operator's name and company. Keep all receipts and documentation.

Review Your Insurance Coverage

Check if your policy includes roadside assistance. Many policies do, but you might need to add it. Towing insurance coverage varies by plan, so read your policy carefully.

What Should You Know About Tow Yard Procedures in California?

Once your car reaches the tow yard, California law protects you further.

Tow yards must release vehicles during posted business hours. They can't hold your car hostage for unpaid fees—though they can place a lien.

You have the right to inspect your vehicle before paying. Check for new damage and document it. Take photos. If the tow caused damage, you can file a claim against the tow company's insurance.

Tow yards must provide an itemized receipt showing:

• Towing fee amount
• Storage fees charged
• Any additional charges with explanations
• Vehicle condition notes
• Release date and time

If the receipt is missing charges or unclear, ask for corrections before paying. Once you pay, it's harder to dispute later.

Frequently Asked Questions About California Towing Laws

Here are answers to common questions about AB 987 and California towing regulations:

Q: Can a tow company charge me if I don't authorize the tow?
A: Not legally. If you didn't authorize the tow and proper notice wasn't given, the tow might be illegal. You can dispute the charges and potentially sue for damages.

Q: What's the fastest way to get my car back from the tow yard?
A: Pay the charges (or dispute them in writing) and pick up your vehicle during business hours. Some tow yards accept payment over the phone. The faster you act, the fewer storage fees you'll accumulate.

Q: Can I negotiate towing fees in California?
A: You can try, but tow companies aren't required to negotiate. The law sets maximum fees, not minimums. However, if charged above the maximum, you can demand a refund.

Q: Does my insurance cover towing fees in California?
A: Many policies include towing coverage, but check yours. Roadside assistance plans from AAA, insurance companies, and providers like California roadside assistance services typically cover towing costs.

Q: What if the tow company damaged my car during towing?
A: Document the damage with photos. File a claim with the tow company's insurance. You can also file a complaint with the Bureau of Automotive Repair and sue in small claims court.

How to Find a Reliable Towing Company in California

When you need a tow, choosing the right company matters. Look for operators who follow California law and treat customers fairly.

Check if they're licensed and insured. Ask about their maximum fees upfront. Get a quote in writing before authorizing the tow.

Read customer reviews online. Look for complaints about overcharging or damage. The Bureau of Automotive Repair website shows complaint histories for licensed operators.

Use USA Tow Finder to locate trusted towing services in your area. Our directory includes verified providers who follow California towing laws.

For choosing a company, check our guide to choosing a reliable tow truck company. It covers what to look for and red flags to avoid.

Key Takeaways: Protecting Your Rights in California

California towing laws are designed to protect you. Here's what to remember:

• Fee caps matter: Maximum $150 for standard tows, $200 for heavy-duty. Storage maxes out at $50 daily.
• AB 987 is your shield: This law gives you dispute rights and protections against predatory practices.
• Documentation is power: Keep all receipts, photos, and communications. You'll need them if you dispute charges.
• You have choices: After accidents, you can pick your own tow company. Don't accept the first offer.
• Know your remedies: File complaints with the Bureau of Automotive Repair or pursue small claims court if overcharged.
• Get coverage: Roadside assistance protects your wallet and gives you better tow company options.

Understanding California towing laws puts you in control. You're no longer at the mercy of predatory operators. You know your rights, your fee caps, and your remedies.

If you're ever towed in California, reference this guide. Know what you can legally be charged. Don't accept overcharges. And if problems arise, fight back using the tools California law provides.

Disclaimer: Prices and fee information from providers like AAA, GEICO, Progressive, and State Farm are current as of 2026. We're not affiliated with these companies. For specific coverage details, contact your provider directly. This article provides general information about California towing laws, not legal advice. Consult an attorney for specific legal situations.