All of the following statements about California's low-cost auto insurance program are true EXCEPT?

The correct answer highlights that California's low-cost auto insurance program is not restricted to urban areas, meaning it can be available in both urban and rural parts of the state. The program was designed to make auto insurance affordable for low-income individuals, thereby extending beyond just urban locales to serve a broader population.

California's low-cost auto insurance program is indeed available statewide, which means it is accessible to residents in all regions, regardless of whether they live in urban or rural settings. This accessibility is important because it recognizes that low-income individuals may exist in various geographic locations, not limited to metropolitan areas.

Eligibility for this program is based on income, ensuring that the insurance addresses the needs of those who are economically vulnerable. Furthermore, while it provides basic liability coverage, that coverage is only intended to meet the minimum legal requirements for auto insurance in California, thus legitimizing the program's purpose to provide an affordable option for necessary coverage rather than comprehensive or extensive coverage plans.

Therefore, the statement that it is restricted to urban areas is inaccurate, illustrating that the program is designed to benefit a wider array of Californians.