Posted On: July 9, 2008, 11:29 am CDT

Posted By: Gill Fin

With the cost of the device, and the cost to moniter, and the cost of unintended consequences (known knowns, known unknowns and unknown unknowns), somehow that is supposed to produce a lower premium? Auto rates in my state are already unsustainably low due to unregulated competition from out of towners (new to the state). The newbies are running at an expense ratio they cannot continue, and when they raise rates to what their own actuaries require to be profitable, rates will ascend to what they should be. So, adding more overhead to try to find a different way to slice the same pie will only result in a very predictable outcome - higher rates yet. Shouldnt our industry give SOME THOUGHT to improving other parts of the equation besides market share? We are on the verge of suffering the same defeats other industries have when unregulated growth rules the day.