California-Specific RulesQuestion 68 of 158
Which combination of facts about the California Low Cost Automobile Insurance Program is correct?
a.Limited to drivers age 25 or older, with limits of 25/50/10
b.Requires a household income at or below 100% of the federal poverty level, with limits of 30/60/15
c.Requires household income at or below 250% of the federal poverty level, with limits of 10/20/3
d.Open to any California driver regardless of income, with limits of 15/30/5
Explanation
Insurance Code §11629.7 and following limit the Low Cost Auto Program to qualifying low-income drivers. The income ceiling is 250 percent of the federal poverty level, the applicant must be at least 16 with a valid license and three years of continuous licensing and insurance, and program coverage is set at $10,000 per person and $20,000 per accident bodily injury with $3,000 property damage — the 10/20/3 limits, below the 30/60/15 financial-responsibility minimums.
Law Reference: Cal. Ins. Code §11629.7 et seq.; §11629.71Practice all 158 questions free — no signup required.
Related questions on this topic
- For a personal auto policy, how much advance written notice of non-renewal must a California insurer provide?
- Under the Fair Claims Settlement Practices Regulations, which set of deadlines is correct?
- An insurer unreasonably withholds an agreed, undisputed claim payment for several months. Beyond regulatory penalties, what statutory interest may attach to the wrongfully delayed sum under California law?
- Under the California Auto Body Bill of Rights, which statement is correct?
- A California personal auto applicant tells the producer over the phone that she does not want uninsured-motorist (UM) coverage. The producer issues the policy without UM. Under §11580.2, what is the legal effect?
- AB 451 (2018) addressed language access to the California licensing exam. The personal-lines broker-agent qualifying exam must now be offered in which set of languages?
Last reviewed: · editorial process
Sen Lin, PrepPass Founder · Verified against California Personal Lines Insurance License Exam · How we review