View this article online: https://www.insurancejournal.com/news/west/2007/06/14/80817.htm
California Insurance Commissioner Steve Poizner announced plans to expand the California Low Cost Automobile Insurance Program (CLCA) to 10 additional counties – Santa Cruz, Solano, Marin, Madera, Placer, Napa, Yolo, Mendocino, Kings and Lake. The affordable program provides eligible low income, good drivers with state-required liability coverage for less than $400 a year.
Senate Bill 20 authorized the Commissioner to launch the program throughout the state upon his determination of need in each county. A town hall meeting will be held tomorrow in Santa Cruz County to determine the county’s need for the program.
The California Low Cost Automobile Insurance program was created in 1999 to provide low-income good drivers with access to affordable liability automobile insurance. With recent additions allowed by legislation, the program is now available to eligible motorists in 22 counties. The program is administered by the California Automobile Assigned Risk Plan, and the policies are issued by California licensed insurance companies. As of May 31, 2007, the program had sold 32,803 policies since its inception.
To be eligible for CLCA, applicants must be a “good driver” (no more than one at-fault property damage only accident or one point for a moving violation in the past three years; or at-fault accident involving bodily injury or death in the past three years; and no felony or misdemeanor conviction for a Vehicle Code violation) and gross annual household income may not exceed 250 percent of the federal poverty level ($25,525 for a single motorist; $34,225 for a family of two; $51,625 for a household of four.) The value of the insured vehicle must not exceed $20,000.
For more information contact the CDI.
Source: CDI