I recently posted about a California law that will expand a pilot program to provide affordable auto insurance in California. The initial information was a bit fuzzy, so there is more information available now.
If you are single and make less than $23,000 or a family of four who makes under $47,000 you will qualify. You have to have no accidents or tickets in the last three years. You also need to be continuously licensed for three years. The car can only have a value of $12,000, but that goes up to $20,000 on April 1.
The coverage amounts are low. It is only $10,000 per person, $20,000 per accident and $3,000 for property damage. However, if your choice is this policy or no policy, this is clearly the better way to go.
Call an insurance agent or broker to see if you qualify for this program. Insurance companies are forced to write the policy on a “fair share” basis. In other words, if they write 10% of the policies in the state, they will have to write 10% of these policies as well.
This is a good deal for low income consumers. Definitely look at it if you qualify.