How Does Low Cost Auto Insurance In California Clca Work?

California, like most states, is proud to offer a low cost auto insurance alternative to its drivers. The program, formally known as the California Low Cost Automobile Insurance Program, or CLCA, is designed to give drivers with a low income the opportunity to find and purchase affordable coverage.

What CLCA Covers

Don’t confuse the CLCA program with the minimum coverage limits set by most states. The coverage given to drivers through the CLCA program is affordable because it is low and leaves drivers very little room for improvement. If you purchase coverage through the CLCA program you will find that the maximum level of coverage you can purchase is as follows:

• $10,000 per person in bodily injury liability coverage;
• $20,000 per accident in bodily injury liability coverage; and
• $3,000 per accident in property damage liability

As you can see, there is a risk associated with purchasing low cost auto insurance in California. You get very low coverage limits and if you were to cause an accident you might end up having to pay the difference out of pocket.

Purchasing Low Cost Insurance through CLCA

Not every driver can purchase low cost auto insurance in California through the CLCA program. Drivers must meet certain criteria in order to qualify. These criteria include:

• The driver must be at least 19 years of age;
• The driver must have had a drivers license for three years;
• The driver’s vehicle must not be valued of more than $20,000;
• The policy will not cover more than 2 cars per driver, per household;
• Drivers must not have any felony or misdemeanor driving violations on his record (ever);
• Drivers must not have more than one moving violation point and/or one at-fault accident on his record; and
• Drivers must meet maximum household income requirements as outlined by the state of California (ex: $27,075 for a one person household; $36,425 for a 2 person household, etc.)

The disadvantage of purchasing low cost auto insurance in California through the CLCA program is that you cannot purchase your insurance online or choose the carrier who writes your coverage. You’ll have to seek out a qualified CLCA agent who will submit your application to the state for assignment.

Is it worth the risk to purchase coverage through CLCA? You can still find low cost auto insurance in California by submitting your information for a quote through our website. We’ll compare rates from several carriers in your area, giving you the option of purchasing affordable coverage with reasonable limits!