Affordable Car Insurance for SSI Recipients
Last Updated on October 2, 2020
If you’re a Supplemental Security Income (SSI) recipient, then you may be wondering if you qualify for special car insurance rates.
Many SSI recipients live on small budgets from paycheck to paycheck. Money is understandably tight, and even the cheapest car insurance can put a dent in your bank account. So what’s the deal with car insurance for SSI recipients? Do you qualify for special discounted car insurance as an SSI recipient? Or do you pay the same rates as everyone else? Keep reading to find out.
You May Qualify for Special Insurance Rates
SSI is designed to help those with disabilities, like vision and hearing loss, MS, cerebral palsy, and epilepsy. It’s also designed for anyone over the age of 65. Some may assume that people on SSI pay higher insurance rates because they’re perceived to be in a higher risk group.
In reality, it’s a common misconception that individuals with disabilities or the elderly pay higher rates on car insurance. Some disabilities may put you in a higher risk category. However, not all disabilities are categorized in the same way.
First, find out if your disability has been reported as a driving hazard. Talk to your medical provider. If your medical provider believes your disability is a driving hazard, then they’re required to report it to the state. If they have reported your disability to the state, then your insurance company might consider you to be a high-risk driver, which means you’ll pay higher insurance rates.
Fortunately, you have options: many people who qualify for SSI will also qualify for other benefits programs – including Medicaid. You may qualify for cheap SSI auto insurance through Medicaid.
If You Qualify for Medicaid, Then You May Qualify for Special Insurance Discounts
Medicaid recipients may qualify for special insurance programs. If you are entitled to receive SSI, then you may also be entitled to receive Medicaid, which means you could qualify for special insurance discounts.
In New Jersey, for example, Medicaid recipients can get insurance through the Special Automobile Insurance Policy program. It’s not available to all Medicaid recipients, but it can provide basic insurance coverage to those in need.
California meanwhile offers the California Low-Cost Auto Insurance Program, or CLCA, which provides basic car insurance to those who meet specific income eligibility requirements (so you may qualify even if you’re not on Medicaid).
Maryland residents who have been rejected or canceled by traditional auto insurers can get car insurance through the Maryland Auto Insurance Fund (MAIF), which is a public program that offers drivers very affordable auto insurance coverage. Using MAIF, Maryland drivers can get $30,000 in bodily injury liability coverage and $15,000 in property damage liability coverage.
Hawaii, meanwhile, has its own cheap disability auto insurance program available to any driver unable to drive due to permanent disability through its Assistance to the Aged, Blind and Disabled (AABD) program. In this case, you may receive free personal injury protection and liability car insurance from the state of Hawaii. Visit Hawaii.gov to discover available low-income and disability benefits programs in Hawaii.
Unless you’re living in these four states, however, there are limited auto insurance programs available specifically for low-income residents or SSI recipients.
How to Save Money on Car Insurance as an SSI Recipient
So you don’t live in Hawaii, New Jersey, Maryland, or California. You’re able to drive – but you don’t want to pay high rates for car insurance. How can you save money on car insurance as an SSI recipient?
Here Are Some Tips to Get Started on Finding Car Insurance for SSI Recipients:
Compare Quotes: The first and most obvious solution is to compare quotes across major providers. Different insurance companies treat disabilities in different ways. Others offer breaks to certain demographics or drivers in certain categories. Comparing car insurance quotes is free and easy.
Modify your Vehicle: Some individuals with disabilities will modify their vehicles to accommodate their disability. A vehicle that accommodates your disability is safer to drive, and your insurance company might provide lower rates.
Maintain an Excellent Driving Record: This one’s obvious. The cleaner your driving record, the lower your auto insurance rates will be. Many auto insurance companies actually offer lucrative discounts for drivers that maintain a claim-free history.
Get Insurance Under a Family Member: Many people are able to save considerable amounts of money by listing themselves as a secondary driver on a vehicle while listing another person in the household as the primary driver.
Final Word on Car Insurance for SSI Recipients
SSI is designed to help certain groups of people, including those who are disabled, those who are blind, and anyone over the age of 65. The most an individual can receive through SSI in a month is $733, according to the Social Security Administration, and anyone who earns more than a certain amount of income is disqualified from SSI. The average recipient receives approximately $500 per month.
Even with supplemental income, that can make it difficult to afford car insurance. By following the tips listed above, however, you may be able to find affordable car insurance as an SSI recipient in your state.