Low Cost Auto Insurance Program Expansion, Targeted in California

Released on = August 21, 2007, 6:39 am

Press Release Author = Rainier Policarpio

Industry = Law

Press Release Summary = In his statement released yesterday, California Department
of Insurance chief, Commissioner Steve Poizner affirmed that the state government is
planning to extend its Low Cost Automobile Insurance program in other areas in
California. The said expansion is being arranged to be implemented in the counties
of Amador, Butte, Calaveras, El Dorado, Humboldt, Placer, San Benito, Shasta,
Sutter, Tuolumne and Yuba. This is expected to take its effect after the new rates
have been agreed upon later this October.

Press Release Body = In his statement released yesterday, California Department of
Insurance chief, Commissioner Steve Poizner affirmed that the state government is
planning to extend its Low Cost Automobile Insurance program in other areas in
California. The said expansion is being arranged to be implemented in the counties
of Amador, Butte, Calaveras, El Dorado, Humboldt, Placer, San Benito, Shasta,
Sutter, Tuolumne and Yuba. This is expected to take its effect after the new rates
have been agreed upon later this October.

Los Angeles, California, August 18, 2007 - Immediately after this announcement, the
California Department of Insurance conducted separate community meetings in each of
the eleven counties that included in the list to examine the issue and determine
their need of this particular program. The need analysis and meetings resulted into
the determination of Commissioner Poizner that such expansion should be applied in
these counties.

Poizner added that it is indeed an illegal act to without an insurance plan. He also
affirmed that a little below 50,000 motorists are uninsured in these counties due to
the unaffordable premium rates offered to them. Hence, the lives of the road user at
put in jeopardy. Such program expansion will greatly benefit Californians and make
them abide by the law to ensure the protection of all the motorists from possible
damages.

As prescribed under the recently enacted law, SB 1500, the authorities may suspend
the automobile registrations of motorists who will be caught traveling without an
insurance policy. This is intended to warn them of their potential legal liabilities
and at least lessen the chances of economic damages resulting from road accidents
that involve uninsured drivers.

Obedient drivers with low salaries or earnings are qualified to avail the low cost
auto insurance program. They may purchase this for less than $400 or even below $300
yearly depending on the county they are residing. These lower rates allowed more
than 33,000 motorists to avail of the program.

This government program is being managed by the California Automobile Risk Plan and
policies under such program are distributed by California licensed insurers.

Unlike what other people think, the California Low Cost Auto Insurance Program is a
self-sufficient plan. Appropriate rates adjusted in each county to sustain its
operation and so that no amount of subsidies should be burdened by the taxpayers.

For further information regarding how to avail this program, you may visit the
Department of Insurance web site at http://www.insurance.ca.gov or just dial
1-866-602-886.


Web Site = http://www.personalinjurydefenders.com

Contact Details = http://www.personalinjurydefenders.com

  • Printer Friendly Format
  • Back to previous page...
  • Back to home page...
  • Submit your press releases...
  •