Prop 17 to make interest rates drop


CULTRF-00018370-001The best insurance polices are a combination of low prices, good schemes and ample coverage.

Proposition 17 the new bill which is to be passed gives consumers discounts on their coverage policies if they had coverage for a long time, even if they have been switch they insurers. More than three quarters of the insurance policy holders in the country are eligible for these discounts.

The law as of now requires insurance companies to give long term customers special benefits and discounts, but not those who change their insurance company. Consumers who change their insurers are not eligible for such discounts.

Companies give dries with good payment history with discount for being a good consumer and it is only fair that they are eligible for the continuous coverage also. Proposition 17, now lets consumer keep their continuous discount even if they do change insurers.

Prop 17 will result in low insurance rates and gives consumers a chance to choose the right policy for their needs and low interest rate is a boon with the recent bad economy. Insurance companies are expected to further drop interest rates to keep their old consumers and to get new consumers also. This leads to a more competitive environment.

This new law has new securities for consumers irrespective of their age of occupation. Consumer who would lose their discounts if their coverage was not available for even a day but with Prop 17, consumer have a 90 day period to reapply for insurance or if they do not drive for a while.

If a consumer exceeds the 90 day grace period the insurer still has to offer continuous coverage but the insurer is free to set the discount offered. This applies for members who serve the country in the military.

Mercury Insurance ‘s Proposition 17 is encouraged by the, California Senior Advocates League, California Hispanic Chambers of Commerce, California Black Chamber of Commerce, California Chamber of Commerce California Taxpayer Protection Committee, Small Business Action Committee etc.

Uninsured drivers pay the most as they do not have coverage, as other consumers get discount on their coverage and have insurance companies to help with their payments, uninsured drives have to shell out completely incase of an accident.

Experts say the Proposition 17 bill is good for drives as it gives them the ability to jump insurers as according to their needs and now consumers pay less and have their continuous coverage with all insurers. Vote Yes for Prop 17.