Auto Insurance Increases Plague the Country

Posted in Auto Insurance

November 3rd, 2009

Wisconsin is now the 49th state to require drivers to have auto insurance; as a result, auto insurance rates are going up. Rates increase for drivers with required auto insurance because their level of minimum coverage increases. By default, the more coverage you obtain, the more you’re going to have to pay for your premium.

Here is a breakdown of the changes to Wisconsin insurance laws:

• Minimum coverage is increasing from $50,000 per person to $100,000
• Minimum coverage for per accident is increasing from $100,000 to $300,000
• At-fault driver’s insurance (and the cost of a repair) will be required for the first time

According to the new legislation, drivers will be required to carry auto insurance by June 1, 2010.

The reason the law was pushed through Legislature was due to attorney’s claims that liability coverage had unsuccessfully kept up with inflation. As a result, those who were injured in accidents had to go to court to get the proper amount of restitution.

Of course, a law that requires auto insurance with minimums that increase premiums is going to be unpopular. However, it’s the new law. So those searching for ways to lower their newly-increased coverage may have to search for a new auto insurance policy to find the relief they’re looking for.

Do you think mandatory auto insurance is fair?