Most Recent Auto Insurance News in State Insurance News

  • Californians to Decide on New Auto Insurance Law by Ballot

    by Jeanny Hopper
    Californians to Decide on New Auto Insurance Law by Ballot

    Amidst efforts to contradict the Continuous Coverage Auto Insurance Discount, a group had stated that it had already submitted more than seven hundred twenty thousand signatures, succeeding for its inclusion in the primary election ballot. The group, Californians for Fair Auto Insurance Rates (CalFAIR), said that such a move would allow citizens of California to decide on whether car owners who religiously maintained motor insurance coverage are entitled to discounts or not. According to California Secretary of State Debra Bowen, supporters of the ballot initiative had turned in at least 433,971 valid signatures. This qualifies the legislation to be included … (more) January 26, 2010

  • Auto Insurance Fraud Referrals Tops List in District of Columbia

    by Jeanny Hopper
    Auto Insurance Fraud Referrals Tops List in District of Columbia

    The District of Columbia Department of Insurance, Securities and Banking (DISB) have been experiencing relative success in the area of insurance fraud referrals in the last three years. According to recent figures, since 2007, the Enforcement and Investigation Bureau of the DISB has received about 350 fraud referrals annually (a 75% increase since three years ago). DISB Associate Commissioner for Enforcement and Investigation, Stephen Perry, said that auto insurance fraud topped the list of the DISB’s enforcement and investigation division in the last three fiscal years. There has been a spike, according to Perry, in “auto owner give-ups, staged accidents … (more) January 24, 2010

  • Two Auto Insurance Companies Win in Michigan Bridge Lawsuit

    by Jeanny Hopper
    Two Auto Insurance Companies Win in Michigan Bridge Lawsuit

    In Lansing, Michigan, Ogden Township taxpayers were turned down by the Michigan Supreme Court in their plea to sue two insurance companies for damages caused by an overweight truck to a public bridge. The court decision was in favor of the insurance companies, 4-3. The bridge in dispute is located on Horton Road. In 2007, the township was compelled to spend more than $200,000 to replace this damaged bridge. Construction company trucks allegedly drove over the infrastructure in 2005 with loads which exceeded its 20-ton weight capacity. The two insurance companies’ attorneys were able to force a shift in their … (more) January 24, 2010

  • Mass. Motorcycle Insurance Holders Set to Receive $11.1 M in Refunds

    by Jeanny Hopper
    Mass. Motorcycle Insurance Holders Set to Receive $11.1 M in Refunds

    Motorcycle insurance holders in Massachusetts are set to receive $11.1 million in refunds after three insurance companies agreed to settle allegations of overcharging their clients since 2002. The office of Martha Coakley, Massachusetts Attorney General, pressed charges against Safety Insurance Co., Liberty Mutual Insurance Co., and Quincy Mutual Fire Insurance Co. after investigating for about a year. These companies were accused of charging premiums based on inflated vehicle values. The office said that current book values should have been used. The settlement was filed in Suffolk Superior Court which compelled Safety Insurance to refund $7.2 million to its clients, $3.1 … (more) January 23, 2010

  • Missouri, Kansas among ‘Yellow’ States for Lack of Insured Drivers

    by Jeanny Hopper
    Missouri, Kansas among ‘Yellow’ States for Lack of Insured Drivers

    About 14% of Missouri and 10% of Kansas drivers might not have automobile insurance, according to a recent study by the Insurance Research Council (IRC). The 2008 edition of ‘The Uninsured Motorists’ contained this reported data which was collected per state from 2005 to 2007. The IRC calculated the figure of those without auto insurance by means of computing the ratio of insurance claims made by persons who were injured themselves by uninsured car owners to the claims by persons who were caught in an accident with insured car owners. Nationwide, this same study said that about 14% of drivers … (more) January 23, 2010

  • Mandatory Auto Insurance to Be Implemented in Wisconsin

    by Jeanny Hopper
    Mandatory Auto Insurance to Be Implemented in Wisconsin

    In an effort to bring down the number of uninsured motorists, a new law would be implemented mandating every vehicle owner to obtain auto insurance. This law, which is set to be enforced in June, would put Wisconsin along with 48 other states that have mandatory laws requiring insurance policy amongst its constituent drivers. A text of the law would read that “no person may operate a motor vehicle upon a highway in this state unless the owner of the vehicle has in effect a motor vehicle liability policy with respect to the vehicle being operated.” This means that drivers … (more) January 21, 2010

  • Proposal Submitted to End Fraud and Abuses in NY Auto Insurance Policy

    by Jeanny Hopper
    Proposal Submitted to End Fraud and Abuses in NY Auto Insurance Policy

    It is very likely that in New York, motorists would experience a major overhaul in their auto insurance system. For about 36 years now, the State of New York has been using a no-fault system. Simply put, it is an arrangement between an insurer and the insured that in case of damage or loss, the latter must be indemnified regardless of who is at fault. This no-fault scheme also allows victims of road mishaps to be directly reimbursed by their insurance provider. Conceptualized to avoid expensive litigation and lower premium costs, some industry experts feel that it is outdated and … (more) January 21, 2010

  • Reforms In Michigan’s Auto Reform Policy Sought

    by Jeanny Hopper
    Reforms In Michigan’s Auto Reform Policy Sought

    In Michigan, efforts are being made by insurance advocates to change the State’s long-standing auto insurance policy. Dr. Robert Hartwig is one of these people. Hartwig, a medical doctor by profession, is also the president of the Insurance Information Institute. In his speech presented to the members of the Michigan House Committee, he testified that the “no-fault” system is what causes Michigan’s car insurance costs to increase. A no-fault system is any type of contract by which the insured is indemnified for losses by their own insurer irrespective of who is at fault, or who had generated the damage or … (more) January 20, 2010

  • Florida Drivers Urged to Protect Themselves with Better Insurance

    by Jeanny Hopper
    Florida Drivers Urged to Protect Themselves with Better Insurance

    Though auto insurance minimum coverage requirements are relatively low in Florida, it is inevitable that drivers may be left more vulnerable. Since Florida has certain minimum requirements which should be maintained in all occasions, these minimum levels may not allow drivers to be fully covered once an accident occurs.  Substantial losses resulting from a collision on the road can exhaust these limits very easily. Thus, drivers who avail of such policies will still be left with taking care of the expenses not covered by insurance limits. The Florida Department of Highway Safety and Motor Vehicles has certain demands so that … (more) January 19, 2010

  • Uninsured Vehicles in Oklahoma State May be Impounded

    by Jeanny Hopper
    Uninsured Vehicles in Oklahoma State May be Impounded

    Oklahoma City drivers may be compelled to have their vehicles impounded if they are caught driving without auto insurance, according to a bill filed in the state’s House of Representatives. This bill, House Bill 2331, is authored by Bartlesville Rep. Steve Martin. Martin said that figures show that 25% of automobiles on the roads of Oklahoma have no liability insurance despite existence of the state’s mandatory insurance law. The statesman added that this bill is a much needed “positive step” for Oklahoma since there have been countless stories of victims caused by motorists without insurance. In this said proposal, a … (more) January 19, 2010

  • Michigan Auto Insurance Costs Driving Motorists off the Road, Experts Offer Advice

    by Jeanny Hopper
    Michigan Auto Insurance Costs Driving Motorists off the Road, Experts Offer Advice

    Car owners in Michigan lament that they are paying the highest auto insurance rate in the whole United States, but some specialists say there is little that they can do about it.  They cited weak consumer protection policies and oversights as the two major causes of the excessively high rates, leaving most consumers to the hands of auto insurance carriers. But some industry specialists say car owners can do many things to reduce their premium rate. They also expect the proposed reforms to help car owners in the state. This Monday, Nov. 30, several lawmakers are set to meet with … (more) January 18, 2010

  • NYID Proposes Auto Insurance Reforms

    by Jeanny Hopper
    NYID Proposes Auto Insurance Reforms

    The New York State Insurance Department (NYID) is planning to change some regulations for no-fault auto insurance in order to help reduce fraud which is hitting many carriers as of late. If not stopped, frauds could contribute to the increase of premium costs for policyholders. Superintendent James Wrynn says state regulators are trying to be vigilant to protect the welfare of consumers. He adds that New York car owners do not have to pay extra fees in fraud and abuse tax, referring to the more than 50 percent increase in no-fault auto insurance as caused by the increase in fraudulent … (more) January 18, 2010

  • Consumer Group Fields California Car Insurance Law as Model

    by Jeanny Hopper
    Consumer Group Fields California Car Insurance Law as Model

    One of the leading and most influential consumer advocacy groups in the state of California called on the federal government and the Obama administration to adopt one of the state’s auto insurance laws in tackling health insurance issues. According to representatives from Consumer Watchdog, government officials can learn lessons from the success of Proposition 103, one of the most effective provisions created to protect the rights of policyholders in California. Insurance experts say that advocates of consumer rights are calling on the Congress and government regulators to implement a similar system of insurance rate regulation already present in California. The … (more) January 17, 2010

  • Sen. Clark Likely to Champion Auto Insurance Reform in Gubernatorial Bid

    by Jeanny Hopper
    Sen. Clark Likely to Champion Auto Insurance Reform in Gubernatorial Bid

    For Michigan State Senator Hansen Clarke, automobile insurance reform will be a key factor in his gubernatorial bid. Clarke has joined in the mix to fill in the seat of state’s next governor, while Lt. Gov. John Cherry opted out of the race recently. Reportedly, auto insurance will be one of his platform’s primary thrust. The Senator told the Associated Press that he has fulfilled all minimum requirements, including paperwork, to officially start getting on to the campaign trail. The gubernatorial aspirant has been actively going around the state to promote his initiative to reduce state auto insurance rates by … (more) January 14, 2010

  • New Jersey Auto Insurers Performed Poorly in ‘08

    by Jeanny Hopper
    New Jersey Auto Insurers Performed Poorly in ‘08

    As automobile insurance companies or firms in New Jersey battled for customers, their effort proved to be unfruitful in 2008. Due to this circumstance, drivers are placed in a spot where they have to pay for higher premiums to compensate for decline in profits. New Jersey State and the Auto Insurance Report indicated that insurance companies have “flatlined” after five years of profits in double-digits until 2008. In 2007, companies reported a 10.1% profit. Since state reforms in 2003, more companies have been drawn to the state despite a poor showing of profits and significant increases in rate. Brian Sullivan, … (more) January 14, 2010

  • 1 Out Of 4 in South Texas Not Insured, TexasSure launched

    by Jeanny Hopper
    1 Out Of 4 in South Texas Not Insured, TexasSure launched

    TEXAS – Texas State may average 22% for uninsured vehicles, but latest figures show that at least one out of four Texans, in most counties in the South Plains/Panhandle regions, do not have auto insurance. To address such a disparity, the Texas departments of Public Safety, Motor Vehicles and Information Resources, and Insurance created an online state-wide insurance verification program called TexasSure, online at www.texassure.com, to lessen the number of motorists without insurance. The same agencies have collaborated together to create a database connecting every registered vehicle in the state by its license plate, liability insurance policy and vehicle identification … (more) January 13, 2010

  • Insurance Deregulation in Massachusetts Not Delivering Results

    by Jeanny Hopper
    Insurance Deregulation in Massachusetts Not Delivering Results

    According to a report commissioned by the attorney general’s office of Massachusetts, deregulation in the state’s insurance industry has failed to lower premium fees; it has increased insurer revenues, diminished consumer protection and created confusion among customers. This report was made two years after the insurance industry was opened to other players and also included recommendations on how to improve conditions in the marketplace. Attorney General Martha Coakley said that deregulation has yet to live up to its promise of cheaper fees for policyholders and has produced disappointing results so far. This report also cited the fact that many consumers … (more) January 12, 2010