California Governor Arnold Schwarzenegger signed into law the California Low Cost Automobile Insurance Program, which provides affordable liability coverage for low-income drivers with good safety records. The intent behind the program is to facilitate compliance with California law requiring that all drivers be insured. The California Legislature concluded that low-income drivers violate the law as the cost of compliance is prohibitive. The California Automobile Assigned Risk Plan administers the program, but private insurers underwrite policies. As with most initiatives, the intent is good, but we are rapidly crowding out the private sector at a time when California is broke. Remember the Robert Plan and other such insurance ventures from the 1990’s? They figured out how to insure non-standard motorists in the private market. We need some private sector innovation.