Online Auto Insurance: CLCA Improvements Highlight Need to Stay Insured in Calif.

LOS ANGELES, Dec. 14, 2011 /PRNewswire/ -- California officials announced last week that consumers who get insured through the state's Low-Cost Automobile Insurance (CLCA) program will no longer have to wait two weeks to get proof of a policy, a change that could help them dodge costly and burdensome consequences if driving is a necessity, according to OnlineAutoInsurance.com.

Instead of being immobile or having to risk getting caught driving without proof of coverage for the two-week wait period, CLCA users will now be able to get temporary proof of their California auto insurance at the offices of local agents who participate in the CLCA program.

This is crucial for CLCA participants, according to state Insurance Commissioner Dave Jones. He said in a news release that the wait period meant people either drove without proof of coverage or bought more expensive policies.

And for the already financially strapped participants in the CLCA, getting caught driving without such proof could only hurt their situation.

That's because motorists who are cited on the road without proof of policy could face a fine of between $100 and $200 for a first violation, and police could impound the vehicle. And it doesn't stop there. Those who have their cars impounded may also have to pay towing, storing and administrative charges—in addition to having to show proof of coverage—before they can get their rides back.

The fine jumps to between $200 and $500 for those who have been caught driving uninsured in the preceding three years.

Source: http://dmv.ca.gov/pubs/vctop/d07/vc16029.htm

California officials have been implementing a number of improvements that have made the CLCA program more practical and accessible to those who stand to benefit from it.

The CLCA was first established in 2000 as a means of getting Californians with the tightest budgets outfitted with vehicle coverage. Through the program, drivers with relatively clean records and a household income below 250 percent of the federal poverty level can get a policy for between $248 and $448 per year. The price depends on the county they live in and the makeup of the household.

Since 2007, an average of about 7,500 Californians have purchased insurance each year through CLCA.

To learn about this and other coverage issues, readers can go to http://www.onlineautoinsurance.com/california/ where they will find informative resource pages and a quote-comparison generator.

SOURCE Online Auto Insurance