Parties hoping to change the way Massachusetts handles its high risk auto market have some more work to do. Massachusetts Insurance Commissioner Julianne Bowler has ordered Commonwealth Auto Reinsurers (CAR) to amend its proposed assigned auto insurance plan before she will approve it. While commending the proposed Massachusetts Assigned Insurance Plan (MAIP) as a “solid framework for residual market reform and transition,” Bowler nevertheless asked for key amendments to address concerns raised during the hearing process. Bowler has asked CAR to: clarify the rules so that drivers with good driving records are not impacted by the changes in the residual market; adopt the so-called “Clean in Three” proposal, under which experienced drivers with no-fault accidents or moving violations in the most recent three years cannot be placed in the assigned risk plan; and introduce incentives to encourage new agencies in urban areas. Bowler asked CAR to submit amendments by Sept. 24 and scheduled a hearing for Oct. 4.
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