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California legislators hope to reduce the number of uninsured motorists in Los Angeles and San Francisco by offering low-income residents a streamlined auto insurance policy at a discounted price. The pilot program, administered by the California Automobile Assigned Risk Plan (CAARP), begins July 1. California law currently requires that drivers carry a minimum of $15,000 in coverage for bodily injury per person; $30,000 per incident and $5,000 for property damage. In order to provide the low-cost policy, these standard limits were reduced to $10,000; $20,000 and $3,000, respectively. Residents of L.A. will pay $450 a year, while San Franciscans will pay $410 for this policy.

Topics California