California Rebate Program Now Covers 90% of Eligible Vehicle A/C Repair Costs

July 2, 2025

The Cool Air Rebate (CAR) Program, a statewide initiative aimed at supporting low-income Californians with vehicle air conditioning repairs, announced a series of updates effective July 1 that increase both financial assistance and program access.

The CAR Program will now cover up to 90% of eligible repair costs to remove leaking R-134a refrigerant, a potent greenhouse gas that is 1,400 times more damaging than carbon dioxide. This marks a 10% increase from the program’s previous subsidy limit. Additionally, income eligibility has been expanded from 200% to 225% of the federal poverty level, enabling more Californians to qualify for support.

*Terms and conditions apply. Must be an eligible customer and a participating repair shop. Applies only to qualifying repairs. Repair reimbursement: The Cool Air Rebate Program will pay participating repair shop 90% of the cost of qualifying repairs up to a maximum of $1,500 per vehicle ($1,666.70 repair cost). Program does not pay any portion of repair costs exceeding $1,666.70. If the diagnosis results in qualifying repairs and the consumer accepts the repairs, the program pays participating repair shop 100% of the diagnostic fee. If the diagnosis results in non-qualifying repairs or the consumer declines the repairs, program pays participating repair shop 90% of the diagnostic fee.