This program initially started writing in the three most expensive areas of the state.
It did not sell so they expanded it to all counties in order to make it appear successful by showing growth.
The program obviously does not resolve the problem of underinsurance and there is some evidence that it does not reduce the number of uninsured drivers. Many 15/30 people are simply choosing the lower limits.
The program will continue because no politician will admit failure.
Interesting to note that Oregon and other states have pushed up thier minimum limits.
Well, the date was July 1, 1967. Financial Responsibility in the amount of 15,000 per person/30,000 per accident with only 5,000 property damage coverage or a $30,000 bond was required to register a vehicle.
Then, in infinite political wisdom, California reduces the requirement to 10,000 per person/20,000 per accident and 3,000 property damage to get “more people to have insurance”.
Apparently, medical costs have not changed since 1967, the cost of repair/replacement of vehicles has remained static or decreased.
The law is ignorant in allowing such inadequte protection in 2010. Must be from the drugs of the sixties keeping inflation from becoming a reality in the numbed minds of politicians.
So as responsible citizens, we are forced to carry uninsured/underinsured motorist coverage since the minimum legal requirement for the registration of a vehicle doesn’t provide adequate protection. The majority of major accidents are caused by vehciles with minimum or no liability coverage. If not no-fault, then why tort? Either are of these useless in this state. Wake up California.
minimum 15k/30k for bi and 5k for pd…
um cvg, same minimum; problem is min for umpd is 3.5k (only cvg lmt)…
if you would understand the true need for insurance, you would see that UM cvgs are needed not because folks don’t have enough, is that many are driving without insurance.
one issue i have is the min for pd of only 5k.. how many cars out there are worth easily more? especially used cars!
i think the legislation department of california needs to wake up! what if it was there car hit by the many UNINSURED MOTORISTS?!
Exactly my point. Too many idiots carry too low a limit and force us responsible citizens to cover our assets for their irresponsibility. BTW direct writers discourage you from purchasing UM coverages so they can avoid paying claims while at the same time “saving you 15% in 15 minutes”.
Since the average bodily injury awarded by jury for accidents in California in 2003 was $320,000+ and the trend has not been decreasing, limits of even 50/100 are too low.
Insurance in California has become a true socialist mechanism allowing this underinsurance to occur and will fail “price wise” in the long run.
We should require all California citizens, both legal and illegal, be held responsible for their own underinsurance problems and stop the pity party. True No-Fault insurance mechanism’s such as Life and Health and Disability Insurance should take care of each individual’s situation if they choose to purchase it. It’s called personal responsibility.
I average the same number of new business applications in a month that this program has written year to date.
If the state was less onerous with respect to products and rate making, I would write even more and bring these customers into the private sector, where they belong in the first place.
In the end, all this program is is a subsidization of rates for Angelinos, since very little business is written outside of LA County.
well, in some states the minimum is even 50/100, which i love, because 25/50 in most states is a standard but many cases probably is not enough. but when you see pd cvg of 10 or less, then you wonder if they truly know the cost of an auto, including used vehicles. we just need to enforce carrying coverage or your vehicle gets towed (like TEXAS)!
This program initially started writing in the three most expensive areas of the state.
It did not sell so they expanded it to all counties in order to make it appear successful by showing growth.
The program obviously does not resolve the problem of underinsurance and there is some evidence that it does not reduce the number of uninsured drivers. Many 15/30 people are simply choosing the lower limits.
The program will continue because no politician will admit failure.
Interesting to note that Oregon and other states have pushed up thier minimum limits.
Well,
With a max value of $20,000 on the vehicle, it leaves out a large portion of the population who have black Escalades with spinners.
Well, the date was July 1, 1967. Financial Responsibility in the amount of 15,000 per person/30,000 per accident with only 5,000 property damage coverage or a $30,000 bond was required to register a vehicle.
Then, in infinite political wisdom, California reduces the requirement to 10,000 per person/20,000 per accident and 3,000 property damage to get “more people to have insurance”.
Apparently, medical costs have not changed since 1967, the cost of repair/replacement of vehicles has remained static or decreased.
The law is ignorant in allowing such inadequte protection in 2010. Must be from the drugs of the sixties keeping inflation from becoming a reality in the numbed minds of politicians.
So as responsible citizens, we are forced to carry uninsured/underinsured motorist coverage since the minimum legal requirement for the registration of a vehicle doesn’t provide adequate protection. The majority of major accidents are caused by vehciles with minimum or no liability coverage. If not no-fault, then why tort? Either are of these useless in this state. Wake up California.
Personal Responsibility needs to make a comeback!
your sure do not know your limits of coverage…
minimum 15k/30k for bi and 5k for pd…
um cvg, same minimum; problem is min for umpd is 3.5k (only cvg lmt)…
if you would understand the true need for insurance, you would see that UM cvgs are needed not because folks don’t have enough, is that many are driving without insurance.
one issue i have is the min for pd of only 5k.. how many cars out there are worth easily more? especially used cars!
i think the legislation department of california needs to wake up! what if it was there car hit by the many UNINSURED MOTORISTS?!
Exactly my point. Too many idiots carry too low a limit and force us responsible citizens to cover our assets for their irresponsibility. BTW direct writers discourage you from purchasing UM coverages so they can avoid paying claims while at the same time “saving you 15% in 15 minutes”.
Since the average bodily injury awarded by jury for accidents in California in 2003 was $320,000+ and the trend has not been decreasing, limits of even 50/100 are too low.
Insurance in California has become a true socialist mechanism allowing this underinsurance to occur and will fail “price wise” in the long run.
We should require all California citizens, both legal and illegal, be held responsible for their own underinsurance problems and stop the pity party. True No-Fault insurance mechanism’s such as Life and Health and Disability Insurance should take care of each individual’s situation if they choose to purchase it. It’s called personal responsibility.
I average the same number of new business applications in a month that this program has written year to date.
If the state was less onerous with respect to products and rate making, I would write even more and bring these customers into the private sector, where they belong in the first place.
In the end, all this program is is a subsidization of rates for Angelinos, since very little business is written outside of LA County.
well, in some states the minimum is even 50/100, which i love, because 25/50 in most states is a standard but many cases probably is not enough. but when you see pd cvg of 10 or less, then you wonder if they truly know the cost of an auto, including used vehicles. we just need to enforce carrying coverage or your vehicle gets towed (like TEXAS)!
We’ve posted some thoughts on this at our company blog: http://cseinsurancegroup.blogspot.com/2010/09/is-clca-solution-in-search-of-problem.html