All counties that come under the jurisdiction of California are eligible to apply for this program.

However all are not eligible to apply for the low cost California Auto Insurance program. The Department of Insurance for California requires the following eligibility in a prospective applicant:-

• A good driver’s record with a negligible one property damage incident; people with more than one accident or multiple violation records are not eligible to purchase these plans.

• Should have been driving with a valid driver’s license for the past 3 years

• The value of the vehicle owned should be less than $20,000

• Should be 19 years of age and above

• The income should be as low as 25,000 per year as prescribed by tables.

The income level is fixed by the gross income value of the income of all family members living in a dwelling; however, if more than one family is living in the same dwelling, their income will be considered per family for eligibility despite them living in the same dwelling. The low cost California Auto Insurance Program is offered by California Automobile Assigned Risk Plan (CAARP)

The important aspects to be considered before shopping out for a California Auto Insurance are:-

• Coverage requirement for bodily injury liability

• Coverage requirement for property damage liability

• Coverage requirement for uninsured motorist and insured motorist

• Coverage requirement for Medical payments

• Comprehensive physical damage coverage for other than collision

• Collision coverage

• Towing and labor coverage

• Rental and reimbursement coverage

Before you purchase California Auto Insurance coverage it would be wise if you note down the price quoted by each company for all the above mentioned needs before you arrive at your coverage cost and premium dues affordable. Making sure that you purchase a California Auto Insurance from a financially sound company that would process claims judiciously is very important.

Some companies would not offer to insure high risk drivers with very poor driving records. For such high risk records CAARP will sell insurance coverage. You need to spot a CAARP certified agent to purchase this category of California Auto Insurance.