Lemoyne (12.8.11) – At a time when many Pennsylvania families are struggling to make ends meet, four Pennsylvania Senators have introduced legislation that would make that harder.
Senate Bill 1339 would double the minimum insurance requirements for automobile insurance.This legislation is sponsored by Senators Don White, Gene Yaw, Richard Alloway and Stewart Greenleaf.
At a hearing on the legislation December 6th Samuel Marshall, the President and CEO of the Pennsylvania Insurance Federation made three troubling observations about the proposed changes:
Approximately 1 million Pennsylvanian’s currently have minimum coverage. This change would increase their premiums by 10 to 30 percent.
Although the number of “underinsured” claims might decrease, the number of uninsured claims would increase. People, who are struggling to make payments for minimum coverage payments now, may drop insurance altogether. This would result in higher auto insurance rates for everyone else.
Doubling coverage would put Pennsylvania near the top nationally for coverage requirements and significantly above neighboring states.
Most incredibly though, the Insurance Federation, who one could assume would benefit financially from an increased premiums, opposes the changes proposed by the legislation. This begs the question if the insurance companies don’t want to see the changes made, who does?
CAP would encourage you to contact the four Senators and ask them why they want to make it more expensive for Pennsylvanian’s to insure their cars. Ask them how their proposal is good for taxpayers while we pay the premiums to cover the insurance bill on their tax payer funded car allowance.
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