The State Department of Insurance estimates that close to 20% of drivers in California are uninsured ... but in today's tough economy, they suspect that number is much higher.
Darrel Ng said, "Statistics show that at least one in five Californians does not have auto insurance, so we know that as the rate of unemployment increases so does the rate of people not having auto insurance."
In the Valley where every county is experiencing double digit unemployment ... insurance agents like Ron Wells have noticed some clients are saving money by getting rid of a second or third car, but some are simply letting their policies expire.
"If it comes down to them putting food on the table or paying that auto insurance payment then more often that not, the food on the table wins out," said Wells.
For the past three years, the state department has offered low cost auto insurance -- but not enough people are taking advantage of it.
"That's why we are doing this today ... we're trying to get the word out that anybody who qualifies can have the legal minimum required auto insurance for a very low cost," said Ng.
Through the program, qualifying drivers can get insurance coverage for $258 dollars a year in Fresno County ... and as low as $209 in Tulare County.
To qualify, the applicant can't have more than one at-fault accident or moving violation in the past three years. The car must be worth less than $20,000. And the driver cannot be claimed as a dependent on someone else's tax return.
Wells also recommends getting rid of the extras on your policy if money is tight ... like car rental reimbursement or road side assistance. Bare minimum coverage is better than no coverage at all.
"If you get pulled over, more than likely you are going to get caught. But worse than that, if you were to cause a horrific accident and you don't have insurance ... that's a real mess," said Wells.
California Low Cost Automobile Insurance Program
1-866-602-8861
