The Don’t Touch My Insurance campaign is a perfect example of remembering the past or being doomed to repeat it.
Check out this video from the Insurance Council of New Jersey for a history lesson in what happens when markets are over-regulated.
NJBIA has joined the campaign to stop the bad faith bill because it would open the floodgates for lawsuits, fueling a jump in insurance premiums that would make New Jersey even less affordable than it already is.
S-2144/A-4293/3850 would rewrite the legal definitions of good faith and bad faith in a way that overzealous attorneys would be able to sue insurance companies for normal mistakes that occur in the ordinary course of business. The unfortunate reality for many companies, particularly good actors, is settling the case out of court often makes more financial sense — even if the defendant is convinced the case is winnable.
According to a study by the independent actuarial firm Milliman, the bill would increase insurance costs by as much as:
- 39 percent for both personal auto insurance and commercial auto insurance;
- 21 percent for Commercial Multi-Peril Liability; rates
- 22 percent for Commercial General Liability;
- 17 percent for Commercial Multi-Peril non-liability; and
- 17 percent for Homeowners’
For more information please visit the Don’t touch my insurance website.
If it is not broken why are they (and would like to know who wants to change it and why) wanting to “fix” or change it!! Who stands to gain from a change?
I have 17 year old twin boys that will be joining my auto insurance policy in a few months and you could imagine that my thoughts of going bankrupt from that are quite frightening. Now to see the water being chummed for the sharks before I even get the first increase on my insurance bill I have thoughts of going back to the MVC and surrendering their permits. The cost of Uber and my wife and I driving them to where they have to go will save us lots of money but take away from them going to the next step in growing up and gaining the freedom and independence of having a car to drive.
You’re right David in saying “who stands to gain from a change?” but it’s not that hard to figure out. These are the people we elected to drive New Jersey off the road.
The author of the bill is Senator Scutari A plaintiff attorney. Any more questions on this bill’s purpose or goal other than to enrich the legal profession?