YOU ASK:

Do I qualify for the California Low Cost Auto Insurance program?

WE ANSWER:

The California Low Cost Automobile Insurance program provides an excellent opportunity for motorists with low income and a spotless driving record to buy affordable auto insurance in the state of California where driving without being protected is illegal.

In order to be eligible for the California Low Cost Automobile Insurance program, you need to meet a number of very strict requirements, as follows:

The applicant must meet the definition of a good driver - this includes having no more than one at-fault accident and no more than one moving violation for the past three years.
The applicant must be at least 19 and must have held a driving license for the past three years.
The applicant's automobile must be worth a maximum of $20,000.
The applicant must earn a maximum of $27,075 if living in a one-person household. For a two-people household, the income limit is $36,425.

What the California Low Cost Automobile Insurance Covers

The California Low Cost Auto Insurance is good news for low-income drivers who would otherwise not be able to purchase automobile coverage. For as little as $400 a year they can get a basic liability auto policy with the following limits:

$10,000 for bodily injury liability per person;
$20,000 for bodily injury liability per accident;
$3,000 for property damage liability per accident.

In addition to the liability coverage, for an extra charge you can include uninsured motorist bodily coverage of up to $10,000 per person, and $20,000 per accident. Medical payments coverage is also offered under the California Low Cost Auto Insurance but if you want to purchase physical damage coverage, you will need to contact a separate insurer.

The California Low Cost Auto Insurance program does not give you the choice to select the insurer yourself. However, insurers are expected to adhere to the program rules.

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