Car insurance cost is one of the most significant financial responsibilities for most families and individuals. Almost every state has a mandate for carrying minimum liability coverage. Anyone who’d be caught driving with no proper insurance will face stiff penalties and fines. Thankfully, some states have provisions for low-income car insurance to help residents meet the requirements.

State programs

Along with a state’s requirement of maintaining minimum coverage, some programs were also established in the hopes of making auto insurance be more affordable. For instance; in 1999, the state of California enacted a law that allows low-income residents to directly purchase the required liability insurance from the department of insurance. Today, few more states are in consideration of setting up low-income auto insurance in their jurisdiction.


Proof of income must be provided to qualify and take advantage of the low-income car insurance program. These include every adult living in a household that is either blood-related or married. Additionally, children are included in identifying the size of a certain household.


Lowering car insurance costs

In case you do not meet the qualifications set forth by your state government, there are strategies that will help lower your car insurance costs. They are as follows.

  • Maintain a clean credit history.
    • Most car insurance providers factor in an individual’s credit history in determining base rates for insurance premiums.
  • Drop unnecessary add-ons.
  • Opt for a higher deductible amount.
  • Ask for possible discounts that may be made available for you such as:
    • Good driver
    • Low mileage
    • Good student
    • Anti-theft devices and systems
  • Consider bundling your insurance needs such as your auto and home insurance.
  • Choose a vehicle that doesn’t cost much when shopping for a new car.

When the premium rate for your insurance exceeds your allowance, look into every possible resource around you. Not qualifying for a government assistance program this year does not mean you never will. Eligibility requirements change now and then, so it won’t hurt checking again.

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