Wednesday, August 29, 2007

Proposed changes to auto insurance

The Division of Insurance, has proposed changes to the way automobile insurance is regulated. A letter from the new Commissioner, Nonnie Burnes, outlines the changes. The proposed changes are intended to increase competition, and allow companies a larger role in setting their rates. The Boston Globe article highlights some of the changes, and has a Q & A article. if you don't want to read 30 pages of regulations. An earlier study group, established by the governor, released a report in March recommending many changes to the commissioner. Since Massachusetts is the only state that sets rates of auto insurance companies, this change is being welcomed by the industry, if somewhat cautiously. There is a public hearing on September 20th, where you can voice your concerns and your support. For more information see our page on Automobile Insurance.