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ConsumerWatch: California’s Low-Cost Car Insurance Option

SAN FRANCISCO (CBS 5) – Adding car insurance is may be a lot more affordable than you realize thanks to a little-known California program.

California drivers are required to carry a basic insurance policy, but some four million drivers still take to the roads without coverage. The State is now offering an alternative for good drivers that costs less than $400 a-year.

The policies do not provide full coverage, but do provide enough to meet the minimum California standard for liability coverage and property damage. There is also an optional medical payments and uninsured motorist bodily injury coverage.

Applicants must be at least 19, have a vehicle valued under $20,000 and be considered low-income, meaning their annual compensation ranges from $25,000 a single person up to $69,000 for a family of six.

Click here to find out more about rates in your area.

(Copyright 2011 by CBS San Francisco. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

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