Insurers that are independent are fighting for fair rates for consumers saying that it’s their job to provide consumers with policies that have low costs and strong protections.
That is why preposition 17 is supported by insurers. Millions of drivers in California are going to benefit from the discounts extended by this preposition who now who pay more than $300 if companies are switched. Responsible drivers will be rewarded and $250 can be saved per year.
The problem that preposition 17 will fix is that the drivers maintaining insurance with the same company have an eligibility to apply for continuous discounts for coverage. But if insurers are switched, the law prohibits drivers from taking these discounts. But prop 17 will make drivers keep their discounts even if insurers are switched.
Just because drivers switch companies, they are made to pay more that hundreds of dollars even though they maintain coverage and follow the low because of the loss of the discount package. This is unfair as good drivers deserve these discounts and should be given continuous coverage discounts as well.
Drivers will be given more choices as prop 17 will increase the growing competition. More than 80% of the drivers will be benefited by this. Consumer protection is also included in order to help those who suffered during the recession.
Drivers who delete their insurances will be cut out from the discounts for continuous coverage under the law, but prop 17 gives drivers a grace period of 90 days for the protection of those consumers who don’t drive for a short period of time.
So those who lose jobs and take up BART get discounts for a couple of months. If they don’t find a job just yet, they are still given discounts by insurance companies.
Mercury insurance is one of the supporters of this measure. Only if these agencies provide low rates, good policies and excellent services will they gain customers.
The opponents of preposition 17 say that drivers who don’t own insurance will have to pay more. This is just a tactic to scare consumers away. Those who don’t have auto insurance in fact already pay more than those who do. Prop 17 just makes it easier for consumers to get continuous coverage.
After getting “yes” votes from consumers, prop 17 gives a lot of freedom to consumers to shop around without losing their discounts which would benefit a lot of drivers from California.