California Low Cost Auto

Department of Insurance

Last updated 01/13/2022

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Description

California’s Low Cost Automobile (CLCA) Insurance program was established by the Legislature in 1999 and exists (pursuant to California Insurance Code Section 11629.7) as a program designed to provide income-eligible, good drivers with liability insurance protection at affordable rates as a way to meet California’s mandatory auto insurance law. California’s Low Cost Auto (CLCA) Insurance Program is a state-sponsored program that makes insurance affordable for California residents who meet the eligibility requirements, regardless of immigration status. The CLCA Insurance program is brought to you by the California Department of Insurance and is administered by the California Automobile Assigned Risk Plan (CAARP).

Phone: 866-602-8861

Frequently Asked Questions

What are the cost for a CLCA policy?

The annual premiums in California vary by county, ranging from $244 - $966. There are discounts if the consumer has been a licensed driver for 3 years with a good driving record. A good driving record is defined as:

  • No more than one at-fault property damage only accident or no more than one point for a moving violation within the past three years
  • No at-fault accidents involving bodily injury or death on a driving record within the previous three years
  • No felony or misdemeanor convictions for a violation of the Vehicle Code on a motor vehicle driving record
What are the eligibility requirements?
To be eligible for the California’s Low Cost Auto Insurance Program, or CLCA, consumers must:
  • Have a valid California driver’s license
  • Own a vehicle valued at $25,000 or less
  • Meet income eligibility guidelines
  • Be at least 16 years of age
  • Have a Good Driving Record
What are the income requirements?
Income eligibility requirements per household effective 2020 are:
  • 1 person - $32,200.00
  • 2 people - $43,550.00
  • 3 people - $54,900.00
  • 4 people - $66,250.00

 A “household” is defined as all persons listed on a federal or state income tax form.


Related services

California Department of Insurance (CDI) California Senior Gateway

Keywords

insurance, low cost auto insurance, auto insurance,