Insurance Commissioner Poizner Expands Affordable Auto Insurance Option To Twenty Additional California Counties
Through Commissioner Poizner’s Expansion of the Self-Sustaining California Low Cost Automobile Insurance Program, Eligible Drivers can be Insured for Under $400 per Year
CHICO - Consistent with his commitment to serve California consumers, State Insurance Commissioner Steve Poizner visited Butte County on Tuesday to announce his expansion of the California Low Cost Automobile Insurance program (CLCA) in 20 additional California counties: Amador, Butte, Calaveras, El Dorado, Humboldt, Kings, Lake, Madera, Marin, Mendocino, Napa, Placer, San Benito, Santa Cruz, Shasta, Solano, Sutter, Tuolumne, Yolo and Yuba Counties. As of October 1, the CLCA program is accessible and available to eligible residents in these 20 counties.
“More than 3 million motorists travel California’s roads without auto insurance, and nearly 5,000 motorists are uninsured in Butte County alone,” said Commissioner Poizner. “This is a recipe for disaster. Fortunately, the CLCA program is a fantastic, affordable option for qualified low income drivers.”
In 42 counties throughout California, the CLCA program provides eligible low-income, good drivers with state-required liability coverage for under $400 a year. Since its inception, 34,161 policies have been issued. Program policies are issued by California licensed insurers and the program is administered by the California Automobile Assigned Risk Plan.
The California Low Cost Automobile program is 100% unsubsidized by taxpayers. The program is self-sustaining. Rates are set in each county so that premiums are sufficient to cover losses and expenses in each county.
The California Low Cost Automobile Insurance Program initially began in 1999 as a pilot program in Los Angeles and San Francisco. Senate Bill 20 (Escutia) authorized the Commissioner to launch the program throughout the state upon his determination of need in each county, based on statistical data analysis and local community input. Â
Beginning in April 2006, the department began expanding the program statewide. The program has been available in Los Angeles, San Francisco, Alameda, Fresno, Orange, Riverside, San Bernardino, San Diego, Contra Costa, Imperial, Kern, Sacramento, San Joaquin, San Mateo, Santa Clara, Stanislaus, Merced, Monterey, Santa Barbara, Sonoma, Tulare, and Ventura Counties. After conducting community meetings to analyze the need for the program locally, Commissioner Poizner determined that the program should be made available to Amador, Butte, Calaveras, El Dorado, Humboldt, Placer, San Benito, Shasta, Sutter, Tuolumne, Yuba, Kings, Lake, Madera, Marin, Mendocino, Napa, Santa Cruz, Solano and Yolo Counties. Commissioner Poizner’s announcement today marks the availability of the CLCA program to eligible residents in these 20 additional counties, and brings the Low Cost Automobile Insurance program to a total of 42 California counties.
“I am pleased to announce this great program is available in these twenty additional counties,” continued Commissioner Poizner. “I’m working hard to make this affordable insurance option available to all California counties.” Commissioner Poizner has already begun conducting community meetings to expand the CLCA program to the remaining 16 California counties.
To be eligible for the program, an applicant 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; and no at-fault accident involving bodily injury or death in the past three years; and no felony or misdemeanor conviction for a violation of the Vehicle Code.
Additionally, family income cannot exceed 250 percent of the federal poverty level ($25,525 for a single person, $34,225 for two persons and $51,625 for a family of four). The value of an insured vehicle must not exceed $20,000. For more information about the program: Call 1-866-60-AUTO-1 or 1-866-602-8861