California Program Offers Low Cost Auto Insurance

City in CaliforniaMany drivers in California have yet to take advantage of a money-saving insurance program, said a report.

Only 18 motorists in Imperial County have joined the California Low Cost Auto Insurance Program, reported KXO Radio. Many are missing out on the decreased rates that could provide affordable coverage for a county that struggles economically; the unemployment rate in Imperial County is close to 28 percent, Insurance Commissioner Steve Poizner told the station.

The low cost auto insurance program began in 2000 as a pilot program for Los Angeles and San Francisco counties. It expanded to all of California’s counties in 2007, but many in Imperial, which borders Mexico on the southeastern corner of the state, have yet to participate. The CLCA policy in Imperial costs just $161 a year, reported the station.

To qualify, applicants must be at least 19 years old, be considered a good driver, and must have been licensed for at least three years. There are also income eligibility requirements and the insured car cannot be valued at more than $20,000.

About 160,600 people live in the mostly agricultural county, with 19.7 percent of families living below the poverty line, according to U.S. Census estimates.

About John Pirro
John Pirro is a licensed fire and casualty insurance agent specializing in various aspects of the auto insurance industry. He worked in the auto body repair industry before taking a reporting position at Online Auto Insurance News.

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