Auto insurance program in California reduces rates again

California Auto Insurance

The state department announced that for the second year in a row, it would be shrinking the price of coverage.

The California Department of Insurance (CDI) has just revealed that it will be lowering the California Low Cost Auto Insurance Program (CLCA) rates yet again for a second year in a row.

The premiums are exceptionally low within this program, making it easier for certain good drivers to obtain coverage.

Annual auto insurance premiums for drivers within this program typically range between $226 to $338. It is available for good drivers who are within a certain income level so that they will be able to afford the legally required coverage within the state. It is meant to help to assist these safe driving individuals to comply with the financial responsibility laws in California.

California Auto InsuranceThis auto insurance option has now become even more affordable with lowering prices.

California Commissioner Dave Jones explained that “Our goal is to decrease the number of uninsured drivers in California by providing a viable, low-cost option for drivers who qualify. It’s our hope these additional rate reductions will attract more consumers to the program.”

The rates in the CLCA rates vary from one county to the next and may be changed with each passing year. In order to qualify for the auto insurance program, drivers need to be at least 19 years old and have a good driving record. They also must have maintained a driver’s license continually for a period of three years and own a vehicle that is worth $20,000 or less. There are also income eligibility requirements.

Jones added that he’s pleased with the reduction in auto insurance rates within the program this year and hopes that it will make a difference in the affordability of the coverage and the program. He stated that this will help to draw more consumers to take part in the program because it now costs even less than it did last year.

Those who are eligible for this auto insurance program receive liability coverage in order to make sure that they meet the minimum requirements of the law in the state.

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