California's Low Cost Auto Insurance Program
Find Cheap Auto Insurance Quotes in California
California’s Low Cost Automobile (CLCA) insurance program provides affordable insurance to good drivers with low incomes who would otherwise be uninsured. CLCA policies have lower coverage limits than the minimum limits required by the state and cost less than standard policies.
CLCA insurance has very restrictive eligibility requirements and is not meant for consumers who are just looking for lower rates. The program does not actually sell auto insurance through the California Department of Insurance, but assigns a licensed auto insurance company to provide you with a policy through the California Automobile Assigned Risk Plan.
CLCA car insurance prices
California’s Low Cost Automobile insurance rates are set by county and are flat for drivers 25 and older who have had a license for three or more years. That means your rates will be mostly locked in based on your age.
Drivers between 19 and 24 will pay 30% more than the base rate. If you're 18 or younger, you'll pay double the base rate in your county.
Annual cost of a CLCA policy by county
County | Base rate | Age 19-24 | Age 16-18 |
|---|---|---|---|
| Alameda | $293 | $381 | $586 |
| Alpine | $281 | $365 | $562 |
| Amador | $281 | $365 | $562 |
| Butte | $239 | $311 | $478 |
| Calaveras | $281 | $365 | $562 |
If you are older than 18 but have had your license for less than three years, you'll pay 40% more than the base price in your county.
You do not get to pick your auto insurance company like a typical consumer shopping for the best auto insurance quotes would.
Optional coverage
The available optional coverages — medical payments and uninsured motorist bodily injury — have fixed prices that vary by county. The cost to add one or both ranges from $37 to $107 per year.
The amount of coverage is also fixed. You can only choose to add or decline the coverage.
Coverage | Limit |
|---|---|
| Medical payments per person | $1,000 |
| Uninsured motorist bodily injury | $10,000 per person and $20,000 per accident |
CLCA eligibility requirements
You can only get coverage through the CLCA program, which was established in 1999, if your income is below a certain level. You also need a good driving record and can’t own more than two cars per person.
Highest eligible income to qualify for CLCA
People in household | Income limit |
|---|---|
| 1 | $36,450 |
| 2 | $49,300 |
| 3 | $62,150 |
| 4 | $75,000 |
| 5 | $87,850 |
The state of California also streamlined its other requirements for coverage in recent years.
- Driver's license: You must have a valid California driver's license, a pending reinstatement or an out-of-state license while you get your California license.
- Vehicles: Each of your vehicles cannot be worth more than $25,000. All cars registered to you must be insured under CLCA.
- Driving record: You must have a good driving record, which means in the last three years you cannot have had an accident where you were at fault and someone was injured or killed. You also cannot have more than one point on your license.
- Vehicle use: You can be covered only if you use your car to travel to work and school and for personal purposes like errands and vacations. It cannot be used for commercial purposes such as delivery or rideshare services.
CLCA coverage limits
Coverage limits of CLCA policies are lower than California's minimum requirements. CLCA coverage will still allow you to drive legally in the state, but you can't add comprehensive or collision coverage to pay for damage to your car.
- Bodily injury: Up to $10,000 per person and $20,000 per claim in an accident where you are determined to be at fault. This pays for medical care and a few other expenses for the driver and passengers of the other car.
- Property damage: Up to $3,000 per accident for damage to other people's property.
- Uninsured motorist bodily injury: Optional coverage for any injuries to you caused by an uninsured driver, up to $10,000 per person and $20,000 per accident. This may be worthwhile to consider, given that nearly 15% of auto insurance claims in California involve an uninsured driver.
- Medical payments: Optional coverage of up to $1,000 per person for medical care after an accident.
The limit for bodily injury is $5,000 lower per person and $10,000 lower per accident compared with a standard policy.
How to enroll in CLCA
To get a policy from California’s Low Cost Automobile (CLCA) insurance program, you'll first have to find out if you're eligible. You can do that through an online questionnaire or a CLCA agent.
- Fill out the online CLCA eligibility questionnaire, or call 866-602-8861
- Choose "Apply online" or "Follow up on my own"
- Fill out the online application, or download the agent list
The enrollment process for the CLCA program is different from getting regular auto insurance: You don't get quotes, and you don't get to pick your insurance company.
In addition to working with your insurance company, you can also call the California insurance help hotline at 800-927-4357 if you encounter issues with claims, policy handling and more.
Frequently asked questions
What is California's Low Cost Auto Insurance?
California's Low Cost Auto Insurance is a low-cost type of car insurance offered to those with low incomes. The state runs the program, connecting drivers to insurance companies and setting cheap rates for bare-bones coverage.
How do I get CLCA insurance?
To get CLCA insurance, you need to first find out if you're eligible, either by filling out an online questionnaire or by calling 866-602-8861. Then you can apply online or contact someone on the list of agents the state can provide.
Is California's Low Cost Auto Insurance good?
It’s better than no insurance, but you should avoid having California's Low Cost Auto Insurance if you can. The limited coverage may not pay for the cost of many accidents and will leave you paying for damage to your own car if you're at fault.
Methodology
Base rates were collected from the website for California’s Low Cost Automobile insurance program for every county in the state. Rates for different drivers were calculated based on the program's multipliers for different driver profiles.
Editorial Note: The content of this article is based on the author's opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.