What Is Non-Standard Auto Insurance?
Non-standard auto insurance refers to coverage provided by specialty carriers that insure drivers who do not qualify for policies from standard (also called "preferred") insurance companies. The insurance industry divides drivers into two broad categories: standard-risk drivers with clean records, and non-standard or high-risk drivers with one or more risk factors.
In California, non-standard insurance serves the same purpose as in other states — it provides legally required coverage for drivers that mainstream insurers will not cover. However, California has several unique laws and programs that affect how the non-standard market operates.
If you have been declined by one or more insurance companies, you are not alone — and you are not without options. The non-standard private market and California's state programs exist to ensure every driver can meet the state's financial responsibility requirements.
Who Needs Non-Standard Insurance in California?
DUI Conviction
A DUI on your record is the most common reason California drivers end up in the non-standard market. Standard carriers typically decline DUI drivers for 3 to 5 years. In California, a DUI stays on your driving record for 10 years and requires an SR-22 filing for at least 3 years.
Multiple At-Fault Accidents
Two or more at-fault accidents within a 3-year window will push most standard carriers to decline coverage. Non-standard carriers are willing to take on this risk — at a higher premium — because they specialize in evaluating and pricing complex driving histories.
Lapsed or No Prior Coverage
If you have a gap in your insurance history — or if you have never been insured — many standard carriers will not write you a policy. Having no prior insurance is especially common among drivers who are new to California, young adults just starting to drive, or immigrants obtaining their first U.S. policy.
SR-22 Requirement
If the California DMV requires you to file an SR-22 (proof of financial responsibility), you will need a carrier that offers SR-22 filings. Many standard carriers do not file SR-22s, which means you will need a non-standard carrier or a specialty agency that works with SR-22-friendly companies.
California's Unique Insurance Rules
California has some of the most consumer-friendly auto insurance regulations in the country. These rules directly affect how the non-standard market operates:
No Credit Scoring (Proposition 103)
California is one of only three states that prohibits insurers from using credit scores to set auto insurance rates. Under Proposition 103, passed by voters in 1988, insurers must base rates primarily on your driving safety record, annual miles driven, and years of driving experience. This is a significant advantage for non-standard drivers who may have poor credit in other states.
New 30/60/15 Minimums (Effective Jan 1, 2025)
California raised its minimum liability limits from 15/30/5 to 30/60/15 — the first increase since 1967. All drivers must now carry at least $30,000 bodily injury per person, $60,000 per accident, and $15,000 property damage. Existing policyholders must comply at their next renewal.
Good Driver Discount (20% Mandatory)
California law requires insurers to offer a 20% discount to "good drivers" — defined as those with no more than one point on their record in the past 3 years. Even non-standard carriers must offer this discount to qualifying drivers.
AB-60 Driver's Licenses
Under AB-60, California issues driver's licenses to all residents regardless of immigration status. This means undocumented drivers can legally obtain a California driver's license and purchase auto insurance — a pathway that directly benefits the non-standard market.
California Assigned Risk Plan (CAARP)
If you have been declined by at least two private insurance carriers, you may be eligible for the California Automobile Assigned Risk Plan (CAARP). This is the state's insurer of last resort — a safety net program that ensures even the highest-risk drivers can obtain the legally required coverage.
Under CAARP, you are "assigned" to an insurance company that is required to issue you a policy. The premiums are regulated but are generally higher than what you would find in the private non-standard market. CAARP policies provide the state minimum liability coverage and can include SR-22 filing.
Try the Private Market First
CAARP should be your last resort, not your first call. Private non-standard carriers often offer better rates and more flexible terms than the assigned risk plan. An agency like A-LA shops multiple private carriers before recommending CAARP — many drivers who think they need CAARP actually qualify for cheaper private coverage.
California's Low-Cost Auto Insurance Program
California also offers the California Low-Cost Automobile Insurance Program (CLCA) for income-eligible drivers. This program, established by AB-1344, provides liability insurance at reduced rates for drivers who meet certain income requirements and have a good driving record.
The CLCA program is designed for drivers who might otherwise go uninsured due to cost. Eligibility is based on income (at or below 250% of the federal poverty level), age (at least 16), a valid California driver's license, and a vehicle with a market value of $25,000 or less. If you qualify, premiums can be as low as a few hundred dollars per year for basic liability coverage.
How A-LA Auto Insurance Helps CA Drivers
Phone Quotes Available
California drivers can get a quote over the phone by calling (866) 252-6116. Our licensed agents serve CA drivers statewide.
Multiple Non-Standard Carriers
We shop multiple California-licensed non-standard carriers to find you the most affordable coverage — before considering CAARP.
SR-22 Filing Service
Need an SR-22 filed with California DMV? We handle the paperwork and get your certificate filed quickly.
Monthly Payment Plans
We offer flexible monthly payment options so you can start coverage without a large upfront cost.
Frequently Asked Questions
QWhat is non-standard auto insurance in California?
Non-standard auto insurance is coverage provided by specialty carriers for drivers who do not qualify for standard policies. This includes drivers with DUI convictions, multiple accidents, lapsed coverage, no prior insurance history, or SR-22 requirements. Non-standard premiums are higher but provide legally required coverage when mainstream insurers decline.
QDoes California use credit scores for auto insurance rates?
No. California bans the use of credit scores in auto insurance rating under Proposition 103. Insurers must base rates primarily on your driving record, annual miles driven, and years of driving experience. This is a significant advantage for drivers with poor credit who would pay more in other states.
QWhat is the California Assigned Risk Plan (CAARP)?
CAARP is California's state-mandated program for drivers who cannot obtain insurance in the private market. If you have been declined by at least two carriers, you can apply to CAARP and be assigned to an insurer. However, private non-standard carriers often offer better rates — always shop the private market first.
QWhat are California's minimum auto insurance requirements?
As of January 1, 2025, California requires minimum liability limits of 30/60/15 — $30,000 bodily injury per person, $60,000 per accident, and $15,000 property damage. These are up from the previous 15/30/5 minimums. All policies must comply at their next renewal date.
QHow can I find affordable non-standard insurance in California?
Work with an independent agency like A-LA Auto Insurance that shops multiple non-standard carriers. We compare rates across many California-licensed companies and find the most affordable option for your situation. Call (866) 252-6116 for a phone quote.
Get Covered in California — Even With a Difficult Record
California's non-standard market provides real options for drivers who have been declined elsewhere. Between private non-standard carriers, the CAARP assigned risk plan, and the Low-Cost Auto Insurance Program, there is a path to coverage for every California driver.
A-LA Auto Insurance helps California drivers navigate these options. Whether you need an SR-22 filing, liability coverage after a DUI, or your first-ever policy, call (866) 252-6116 for a phone quote today.
Need Non-Standard Coverage in California?
A-LA shops multiple CA carriers for high-risk drivers. SR-22 filing available. Phone quotes statewide.
Or get a quote onlineSean — A-LA Auto Insurance
Licensed Insurance Agent — A-LA Auto Insurance, Dallas-Fort Worth
Sean is a licensed insurance agent at A-LA Auto Insurance, a TDI-licensed independent agency with 13 offices across Dallas-Fort Worth. He specializes in helping Texas drivers find affordable coverage — including SR-22 filings, non-standard auto, no-credit-check options, and coverage for drivers without a US license. Call (866) 252-6116 to speak with the team directly.
A-LA Auto Insurance is a Texas Department of Insurance (TDI) licensed agency. For personalized advice, call (866) 252-6116.