Virginia Raises Speed Limits to as maximum of 70 mph
Bills passed by both the House and Senate last February 2 go into effect, raising the state’s maximum speed limit from 65 to 75 miles per hour. Actual implementation decisions will be made by the highway department, it’s anticipated that interstate highways and certain rural devided roads will be assigned the new limit.
More than 1/2 of the 50 states have a maximum speed limit of 70 mph or higher, 10 of them have a 75 MPH limit, while parts of Utah and Texas have 80 MPH speed limit
In response to the 1970s oil embargo and resulting shortage the national speed limit was reduced to 55 mph as a fuel conservation measure from 1974 to 1987, critics believe the actual savings of 1% could have been accomplished with proper tire imflation. Some green activists point the speed limit increases as another example of convenience taking priority over fuel economy,suggesting Americans seem unwilling to make personal sacrifices in the name of energy independence and air quality. In 1995 the power to establish speed limit was turned over to the individual states.
}——————————————————————-{
Louisiana Increases Minimum Coverage, Causing Rates Increase
Jan 1 2010 A new law going into effect this year increases the minimum amount of required coverage. Previously, Louisiana drivers were required to have $10,000 in coverage for injury or death to one person, $20,000 for injury or death to more than one person and $10,000 for property damage – a so-called 10-20-10 requirement. The new minimum requirement is 15-30-25.
Chief actuary for the Louisiana Department of Insurance, Richard Piazza, estimates that rates for the 2.5 million minimally-insured driver’s insurance will go up an average of $71. This is the first increase of minimum coverage requirements in 30 years.
Wisconsin is another state raising it’s almost 30 year old minimum coverage requirements, effective 1-1-10 the requiremens were raised from 25-50-10 to 50-100-15
Although a painful increase in these difficult times, these increases just begin to match 30 years of inflation, and should save many from having to cover coverage shortfalls out of pocket.
}——————————————————————-{
Michigan’s Theft Reduction Group, H.E.A.T. in it’s 24th Year
The Help Eliminate Auto Thefts ( H.E.A.T.) tip line, funded by state insurance companies has been helping to lower car theft for 24 years, the anonymous tip line has led to the arrests of 3,300 auto theft suspects.
Michigan has some of the highest insurance rates in the U.S. with an average cost of about $5,000 per year. Robert Hartwig of the Insurance Information Institute suggests the state’s unlimited no-fault claims provision is in great part for the state’s high rates.
}——————————————————————-{
Mercury Insurance Submits Deceptive Calif. Initiative
Dec. 16 In a time when soldiers from home and people in financial difficulty have stopped driving, a measure submitted by a front group for Mecury Insurance would legalize a surcharge on people who have not carried insurance for a time, this wipe out a provision of the 1988 insurance reform measure Prop. 103.
Mercury’s front group, Californians for Fair Auto Insurance Rates or CAL-FAIR has received $4.5 million solely from Mecury, the front group effective insulates the Mecury executives from questioning by the press and interested parties.
The initiative would allow insurance companies to penalized customers to the tune of hundreds of dollars for having a lapse in coverage in the last 5 years, missed payments, or cancellations, regardless of whether they were driving during the lapse period. This is a repeat of 2003 Mecurity sponsored lay eventually invalidated by California Court of Appeal following the State department of insurance testimony that a lapse in so called “continuous coverage discount” would amount to a 40% premium increase.
Reported by the Campaign for Consumer Rights (oddly this seems to be a single purpose group, much like Mecury’s Californians for Fair Auto Insurance Rates)
}——————————————————————-{
Dec 16 The Detroit News
Michigan state House of Representatives passes Insurance Reform Package
If approved by the State Senate & signed by Gov. Granholm, the bills will mean:
- Rates based on location, causing higher rates for Urban drivers have been eliminated
- Rates based on credit history, occupation and other irrelevant factors have also been banished
- Drivers Not at fault in accidents will not experience increases
- Prevent insurers from selling customers personal information
- To reduce corruption, Insurance Commissioners are now prohibited from working for insurance companies no sooner than 2 years after leaving office.
}—————————————————————{
West Virginia’s Car Insurance Premiums Continue to Decline
The annual report of The National Association of Insurance Commissioners, or NAIC was good news for Virginia drivers, showing the average policy cost dropping $56.21 since 2004.