Financial Channel

I am 18 years old and have been involved in 3 car accidents in last year. Only one was at fault. My rates are now very very high and have heard of something called assigned risk auto insurance which may lower my rates. Also have heard of government aid insurance but not sure on either of these solutions. Some help please.

In what state?

the state of california

My response:

Upon cancellation of your current policy, your current insurance company will inform you whether you will be eligible for the California Automobile Assigned Risk Plan (CAARP). Assigned risk is merely a "pool" of high risk drivers whom insurance companies MUST insure, but at substantially higher rates - - not cheaper rates. The insurance companies are, in effect, "forced" to insure people such as yourself under California Insurance code ?665.

In general, the plan assigns such insureds to the various companies who write insurance in California, and regulates the premiums that can be charged to such insureds. This assigned-risk insurance is generally issued at the minimal levels required by the financial responsibility law. [California Insurance code ?11622]

IAAL