This Article is About
low cost auto insurance
fundamental rule
viable option
19 years
car insurance
Costs For California’s Low Cost Auto Insurance Program Have Decreased
Join 1000's of Authors at StreetArticles Today!

Costs for California’s Low Cost Auto Insurance Program Have Decreased

The low cost auto program in California was founded in 1999 in an effort to get people that cannot afford auto insurance the ability to get insured and follow the law. This programs basic fundamental rule is to give an annual discount for those citizens that make less than a certain amount in a year. In this article you will learn a bit about the history of the low cost insurance program in California specifically, how many drivers currently are driving without coverage, and what the qualifications are to sign up for the low cost program.

All 58 counties in the state are part of the program so it does not matter where you live in California in order to qualify. Dave Jones, the insurance commissioner of California announced changes to the low cost program and that in some areas it would decrease up to nine percent across all counties. As a result of the reduction, the states average cost for the program is $257.69 per year and the premiums are now less than $350 per year. A quote from Jones’ speech says “more than 4 million cars, or 15% of the cars on California roads, don’t have coverage, if financial limitations have kept consumers from purchasing car insurance, these changes make low cost auto insurance a more viable option for uninsured drivers.”

All of this is really awesome so far, but the big question is, do you qualify for the program? Well, there are a few very concrete qualifications that are strategically placed in order to help get the people that need the most help into the program. Here are the main qualifications for the low cost auto insurance program for California.

  1. You must have a good, clean driving record.
  2. You must be at least 19 years of age.
  3. Must be licensed continuously for the last 3 years
  4. Your current vehicle must not value at more than $20,000
  5. Annual income for single person is $27,925 or less
  6. Annual income for couple is $37,825 or less
  7. Annual income for family of four is $57,625

Are these really realistic eligibilities to meet in order to get the low cost program? If you think about it, there is a large percent of the population that still does not carry insurance on the road and puts everyone at a major risk. The income requirements are pretty fair and would most likely cover people that have lower paying jobs such as fast food restaurant workers. Vehicle being worth less than $20,000 is fair because if a person can afford a vehicle worth more than this, they should be able to afford basic liability insurance. The toughest qualification for this population of people, the 15% that are not insured, will be the “must be licensed continuously for the last 3 years.” This one will possibly cut half or more of the people from qualifying.

In this article, you have learned why the state of California has decreased its cost for the low cost car insurance program. You have also learned about the qualifications to be eligible for the program and how it affects you.

Street Talk

No comments present
You May Also Like
Locating Low Cost Auto Insurance For Veteran Drivers
It is highly recommended for everyone that owns a vehicle to have auto insurance purchased. Unfortunately many drivers neglect the fact that auto insurance is actually obligatory in majority of the states and they try to wiggle their way out of getting one. Auto insurance is your primary financial protection…
By: Bobbie Ratlif in  Insurance  >  Car Auto   Jan 24, 2012  
  Likes: 1

Save Auto Insurance
Insurance companies have a simple business plan. It is to take in more money in premiums than it pays out in claims. It is a matter of risk management. Insurance companies must access the chance of a disaster happening. If you watched (and who didn't?) the tsunami recently in Japan,…
By: John T Jones, Ph.D. in  Insurance  >  Car Auto   May 20, 2011  
  Likes: 2

State Life Insurance And Its Policy Plans
The working of state life insurance company is with the point of view to encourage different customers. A company main objective is to provide benefits to their customers and shield them as of several of unforeseen harm by recommending the appropriate policy plan at reasonable price. A company is offering…
By: anamzara in  Insurance  >  Car Auto   May 02, 2016  
  Likes: 0

Auto Insurance Rates And How to Keep Them Down
Auto Insurance is a contract between your car owner and also the insurance company. It's simply the premium that you accept invest in your car insurance policy. It protects you against financial losses and comprehensive or collision side mirror in case your car gets damaged, stolen, or if you will…
By: carpartscovered in  Insurance  >  Car Auto   Apr 14, 2016  
  Likes: 0

Easy Access to Loya Insurance
One of the most well-known and fastest-growing companies in the United States, with well over 500 agencies in 12 states across the country is LOYA Insurance. In the attempt to be "local", Loya has strategically placed the offices in many population centers. People often visit locations as they go to…
By: Zarusky Nalaninaskaya in  Insurance  >  Car Auto   Apr 13, 2016  
  Likes: 0

The Best Ways to Get Online Car Insurance Quotes
When you buy a car, the next you do is buy car insurance and without it, you are risking your life. One of the most common questions online car insurance shoppers ask is how can we find the most reliable car insurance quotes online? With the rise in online insurance…
By: RachelLewis in  Insurance  >  Car Auto   Mar 17, 2016  
  Likes: 0

Budget - friendly Loyal Car Insurance
Although insurance rates have edged up the last few years, it is possible to find still budget friendly automobile insurance. The team at Loyal Insurance will personalize an insurance plan that fits your spending plan, no matter how tight it is. Discovering cheap auto insurance coverage can be difficult if…
By: Zarusky Nalaninaskaya in  Insurance  >  Car Auto   Mar 17, 2016  
  Likes: 0

Car Insurance Policy Charges - - Able to Choose Complete Rate
You need to which auto insurance protection you will have? Provides the idea recently been concerning the real cars get older, or even your personal traveling capability? Considering unclear about the vehicles heritage? If you are, chances are that the lending company printed into your agreement precisely what coverage you…
By: Autoinsuarnce00 in  Insurance  >  Car Auto   Mar 01, 2016  
  Likes: 0

Evaluate Auto Insurance Costs - - Exceptional Lower Price As Well As Benefits Intended for Customers
One of the handiest areas searching for the most beneficial online car insurance insurance policies are generally the internet. Additionally, once you've perused using a couple of reliable websites, you can actually toenail recorded upon a number of corporations and also assess automobile insurance. regarding these types of. To accomplish…
By: autoinsurancerates12 in  Insurance  >  Car Auto   Feb 26, 2016  
  Likes: 0

Its the Demon Hunter 98 - 110 Leveling Predictable Real Truth That Will Your Business Things
Buy WOW gold,buy WOW BOE items in security with cheap price.Safe WOW mounts for sale with instant delivery.Top raid teams will help you get WOW gears fast. Excellent customer services as you wish. Its the demon hunter 98 -110 leveling predictable real truth that will your business things and so…
By: appgamenews in  Insurance  >  Car Auto   Feb 16, 2016  
  Likes: 0

They Are Currently Going One Of the Best BNS Gold Growth Most Of Us May Possibly Learn
That important unit will be built from Blade and Soul Gold steel, nasty, extremely group of musicians iron substitution stuff or anything else. Professional team will help you get Game Currency FIFA Fifa 16 Ultimate Team ,WoW Gear Raiditem easily. Its very popular inside presentation marketplace. Yet another necessary device…
By: appgamenews in  Insurance  >  Car Auto   Feb 16, 2016  
  Likes: 0

Know the Best Car Insurance In Singapore
With the rapid development of social economy, the government of Singapore has paid more and more attention to the daily life and personal safety of citizens. In recent years, many insurance companies have set up its personal insurance.Such as medical insurance, employment insurance, automobile insurance and other insurance companies. Today,…
By: hlasinsurance in  Insurance  >  Car Auto   Jan 21, 2016  
  Likes: 0

Finding The Best Classic Car Insurance In California
Classic car insurance California works for people who own old cars they cherish and want to protect from anything bad. For those with such collectible cars, then they have to make sure their precious car is not destroyed because they have not taken a simple insurance cover. The classic insurance…
By: Caelan in  Insurance  >  Car Auto   Mar 29, 2013  
  Likes: 0

Make Your Home And Business Safe With Quality Insurance Policy
Both home and business are extremely valuable for every human being as they are their personal assets. Home is the 'Abode of Peace' for the homeowners whereas the business brings them resources to live. There can be no substitutes or alternative for them and that is why every homeowner and…
By: Jimmy Fernandez in  Insurance  >  Car Auto   Dec 19, 2013  
  Likes: 0

Information on Auto Insurance and Why You Must Insure your Car
If you own car, most probably you have a rough idea about what is meant by an Auto Insurance. However, a detailed and comprehensive understanding of the different aspects of a typical Auto Insurance scheme is vital if you want to select the best auto coverage and policy for your…
By: Nick Thomas in  Insurance  >  Car Auto   Jun 28, 2011  
  Likes: 0

Article Views: 2509    Report this Article