Galo Ramirez, 24, was booked on suspicion of assault with a deadly weapon after running into Lohan's car Tuesday, police said.
Ramirez was released on $35,000 bail, a watch commander at the Los Angeles Police Department's Wilshire station said Wednesday.
"I thank God my daughter was able to walk out of the car," Lohan's mother, Dina, said in a statement released by a publicist for the 18-year-old actress.
Lohan's new film, "Herbie: Fully Loaded," will be in theaters June 22.
Lohan's first starring role was that of the twins in the 1998 remake of "The Parent Trap." She was only 11, but she had started her career as a model at the age of 3 and went on to work in TV commercials, including one for Jello-O with its famous spokesman, Bill Cosby.
The young actress also had recurring roles on two daytime dramas ("Guiding Light" and "Another World").
With her mother, Dina Lohan, she appeared in the Family Channel series "Healthy Kids." (Her mother, who manages Lohan's career, is a former Radio City Music Hall Rockette.) In the year 2000, Lohan starred in the Disney TV movie "Life-Size" and played Bette Midler's daughter in the pilot of her TV series.
In 2003, she made a splash as Jamie Lee Curtis' daughter in the remake of "Freaky Friday" and, in 2004, she starred in another movie, "Confessions of a Teenage Drama Queen".
Last week, Lohan's father, Michael Lohan, was sentenced to up to four years in prison on guilty pleas to a variety of crimes, including driving while impaired and attempted assault.
The latest incident occurred in February, when he was charged with drunk driving after running his car into a utility pole on Long Island.
The attempted assault charge — to which Lohan pleaded guilty in December — stemmed from an attack on his brother-in-law with a shoe at a party last May.