Cheap California Car Insurance – Will The Government Help Pay For It?

Reader question:

I know there is a program for cheap California car insurance, but how do I know if I’m eligible?

Marty

Excellent question, Marty.

In my last blog post, I introduced the program for cheap California car insurance that is helping decimate the population of California that is driving uninsured on Californian roads–a total of three million people currently, but the number is shrinking. The cheap California car insurance program was designed to help good drivers who have a low income be able to afford car insurance in this state where the prices are getting increasingly higher and higher.

There are several requirements that you must meet to be able to get your car insured through the cheap California car insurance program, and the first involves your age and the number of years you have been driving. You have to have had your license for at least three years, and you have to be at least nineteen at the time of application.

Next we have the obvious, which is the low income requirement. In order to get the cheap California car insurance program, you have to meet the low income eligibilities. In terms of whether or not your income is low enough, here are the numbers:

• Just you, you have to make $25,525 or less
• You + one more, combined income of $34,225 or less
• Three people, $42,995 or less
• Four, $51,625
• Five, $60,325
• Six, $69,025
• Seven, $77,725
• Eight, $86,425

These numbers are for incomes that are 250% of the national poverty level or less. In order to count someone as part of the number of people in your household, they have to be related to you. That means adopted kids, biological kids, grandparents, spouses, foster kids even, are okay, but your roomie is not.

The next requirement is that you be a good driver. In order to be considered a good driver, you can only have gotten into one car insurance accident involving property damage that was your fault, no more. Injuries? You’re out. You also can’t have more than one point in California’s moving violation point system for the last three years, nor can you have had any vehicle related felonies or misdemeanors on your record.

There are a couple more requirements, one being that you can’t have a car that values at more than twenty thousand dollars. A new car is okay, so long as it values less than that. Also, if you’re in college, you can’t be claimed as a dependent by your parents still. And if you want to get the cheap California car insurance for a car in your household, you have to use it for all vehicles in your household. You can’t have one on the cheap California car insurance program and another with Allstate.

Hopefully this information will help you get insured and get out on the road. Remember that whenever you find that you can’t afford your car insurance, you should try every path possible for you before admitting defeat. Car insurance accidents involving people without insurance are a big cause in the raising of car insurance rates, and if you got into an accident without insurance the costs of the lawsuit could set you back financially for years to come. Stay safe, and stay insured with the cheap California car insurance program.

Cheers,

Fashun Guadarrama.

I Need Auto Insurance in California – Cheap!

Reader question:

What is way to get auto insurance in California other than getting it from a car insurance company?

Megan

Thanks for asking, Megan.

Getting your auto insurance in California with a licensed car insurance company or through some other Californian state auto insurance program are most certainly the easiest ways to get car insurance coverage in California, and most people wouldn’t have the money to do it any other way. However, California car insurance law does allow for more than one way, and one of the other ways is to get a surety bond. You can get this from a company that is licensed by the state, just as if you were getting your auto insurance in California from an actual insurance company.

These surety bonds are usually purchased by people who own a small business, not normally by those that are insuring a private car. Another option for small business owners is group commercial car insurance. Auto insurance in California law allows a surety bond to be purchased for at the least $35,000. This is equivalent to the minimum liability coverage, so if you want to have more coverage then you should purchase a larger bond.

Another way to get auto insurance in California without having to go through a car insurance company is to simply deposit the $35,000 minimum coverage with the department of motor vehicles for the state. Or, as another way, you could go the self insurance route. In order to do this you have to get a certificate from the department of motor vehicles showing that you are self insured. Remember, though, that whatever kind of insurance you get, you still have to be able to show proof of it when you are pulled over by a police officer or you get into a car accident. Proof can be your car insurance card, or your certificate of self insurance, your surety bond, whatever, so long as it is accepted proof by the department of motor vehicles.

Cheers,

Fashun Guadarrama.