California Low Cost Automobile Insurance Program (CLCA) is expanding to the entire state, stated State Insurance Commissioner Steve Poizner. The affordable program provides eligible low-income, good drivers with state-required liability coverage for under $400 a year.

“More than 3 million motorists travel California's roads without auto insurance,” said Commissioner Poizner. “This is a recipe for disaster. This program is an affordable option for qualified low income drivers. I am pleased to announce that expansion of the program . . . will provide an affordable insurance option to residents in every county in the State of California.”

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.

The program had sold 34,161 policies since its inception. The program is administered by the California Automobile Assigned Risk Plan and the policies are issued by California licensed insurance companies. The program is 100% unsubsidized by government funding. Rates are set in each county so that premiums are sufficient to cover losses and expenses in each county.