The AIA has it right – state regulation of insurance has been a long story of failure. The only thing that state regulators do effectively is tax – and even that is a mess in some places (fire department surcharges varying by county? Ask Michigan insurers.) Or look at the fine job Maine has done regulating workers comp there. Massachusetts is famous for messing up personal auto, and has been doing it for years. Do you really trust New Jersey to turn around decades of incompetent regulation to create a healthy personal auto market?
Yes, it’s time and long past to try something else.
The AIA has it right – state regulation of insurance has been a long story of failure. The only thing that state regulators do effectively is tax – and even that is a mess in some places (fire department surcharges varying by county? Ask Michigan insurers.) Or look at the fine job Maine has done regulating workers comp there. Massachusetts is famous for messing up personal auto, and has been doing it for years. Do you really trust New Jersey to turn around decades of incompetent regulation to create a healthy personal auto market?
Yes, it’s time and long past to try something else.