If you are looking for cheap Californis auto insurance then State Farm Mutual Automobile Insurance Co. might be th eone for you. It is the first California insurer to submit an application to offer a program that rewards California drivers who voluntarily drive fewer miles with lower auto insurance rates.
State Farm is the first California auto insurance company to submit a rating plan in which drivers' auto insurance rates will depend on the actual mileage driven instead of estimated mileage.
Assuming that State Farm obtains approval from the state insurance department, State Farm customers will have the option to move onto this new plan, which State Farm has labeled its "Drive Safe and Save" program. Those who move to this new plan will be given an initial discount for joining the program.
Customers who choose to purchase this cheap California auto insurance policy will then be rated based upon the actual annual miles they have driven. Under the proposed program, drivers who reduce their mileage by as little as 500 miles per year will see a reduction in their rates.
Insurance Commissioner Steven Poizner said he hopes other cheap California auto insurance companies will follow State Farm in offering the product.
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