Smart Auto Insurance Blog

Texas auto insurance quotes and rates are expected to increase over the next few weeks due to a recent regulation change.  There was recently a mandatory minimum liability coverage requirement increase according to the article found on Digital Journal detailing the new regulation.

The Texas Department of Insurance states that liability coverage was much too low and an increase was necessary.  The coverages were barely covering the cost of accidents and this was hurting other drivers involved.  Department of Insurance spokesperson, Jerry Hagins, believes Texas drivers can expect to see an approximate increase of 2%-3% in their current rate.  Charles Law, a local auto insurance agent, estimates this to be around $40 per year on average across the board.  This is a small increase for most people, but it gives us some foreshadowing of where the rates are headed.

Apparently, this minimum liability coverage increase was long overdue.  There hadn’t been an adjustment since 1983 which is simply shocking since medical costs and auto repair costs have skyrocketed since then.  The new rate increase was called for in 2007 law, but it did not take effect until January 2011 and by now consumers are seeing the difference on their statements.  As much as no one wants to pay more for their auto insurance this is a necessary evil to ensure our coverage actually protects us in case we hurt someone or something out on the road.  If it’s too small of an amount we could end up paying out of pocket and no one wants that.

According to the article “Senate Approves Bill to Increase Auto Insurance Liability Coverage” by Michael Dresser on baltimoresun.com, quotes on auto insurance in Maryland are due to change because of the new law.  The Senate voted to raise the minimum liability limits for auto insurance policyholders for the first time in about 38 years.

The final vote for this landmark decision was 27-20, sending the bill to Governor Martin O’Malley for his approval.  The law was approved after a tough fight led by the Senate Republicans as well as some Democrats.  The measure put state’s lawyers and some of their clients against auto insurance companies and advocates for the poor which was a point constantly made by GOP senators.

The new bill is expected to affect over 200,000 Maryland residents who have the minimum amount of auto insurance coverage.  Most of the approximate 2 million policyholders who carry more comprehensive protection will not be as affected.  It’s still to be determined exactly how Maryland auto insurance quotes will be affected.

According to the article “Are Your Car Insurance Rates About To Go Up?” by Dan O’Donnell on 620wtmj.com, Previant Law Firm put together some information outlining how the 2009 budget might impact your Wisconsin auto insurance.

The main note is that minimum liability limits will be increased.  They discuss 7 key points on minimum liability coverage.

1. Minimum liability coverage was established to ensure the insured had adequate coverage
2. Coverages were set back in 1982 last
3. Limits are now being raised to reflect today’s costs
4. New proposed limits are $100,000/$300,000/$25,000
5. This will affect 20-25% of insured drivers
6. 75%-80% of drivers already have higher limits so should not see any impact
7. The cost to your auto insurance rates should be small compared to how much more coverage would you would receive