No-fault auto insurance rises again.No-fault automobile insurance, a much-attempted reform. defeated several times in the state Legislature A state legislature may refer to a legislative branch or body of a political subdivision in a federal system. The following legislatures exist in the following political subdivisions: v. re·sus·ci·tat·ed, re·sus·ci·tat·ing, re·sus·ci·tates v.tr. To restore consciousness, vigor, or life to. See Synonyms at revive. v.intr. To regain consciousness. . A West Los Angeles-based group called the Coalition for Common Sense is pushing for a 1996 ballot initiative on the matter, and state Insurance Commissioner Charles Quackenbush issued a lengthy statement in support of no-fault legislation now pending in the state Senate. Quackenbush's March 27 declaration came just six days after a cost study based on the coalition's no-fault policy proposal was released by Santa Monica-based Rand Corp. A Rand official said the timing of the study's release and Quackenbush's statement was coincidental co·in·ci·den·tal adj. 1. Occurring as or resulting from coincidence. 2. Happening or existing at the same time. co·in . Quackenbush, elected last November with more than $2 million in contributions from insurance companies, is generally seen as an advocate for the industry. Many insurers have supported previous failed attempts at no-fault reforms. Today, insurers who cover an at-fault driver in an accident normally pay medical expenses and take care of repairs for the other driver as well. In a no-fault environment - which is the law in 23 states - an automobile insurance policy usually covers only the insured driver and his or her passengers. "The current fault-based system requires consumers to buy insurance that protects them from lawsuits in the event they cause an accident. The driver who can afford nothing more than the minimum coverage required by law is paying premiums to protect assets that may not exist," Quackenbush said in a statement that supported a piece of no-fault legislation, Senate Bill 1229. The pending bill, sponsored by Sen. Lucy Killea, I-San Diego, would require motorists to buy policies with $15,000 in medical and lost-wage coverage with a premium of $220 a year for low-risk drivers. For those injured in·jure tr.v. in·jured, in·jur·ing, in·jures 1. To cause physical harm to; hurt. 2. To cause damage to; impair. 3. in an accident, litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. for pain and suffering compensation would be limited only to accident victims with serious or permanent injuries. The coalition's proposal would create a no-fault policy to cover a driver's medical or economic losses up to $50,000 for a barebones policy, or a standard policy with coverage up to $1 million. Accident victims would be precluded from recovering medical costs and lost wages exceeding their policy limits. Coverage for property damage would come from a separate policy and would not be affected. The Rand study indicated that under such a system, a driver with a $50,000 policy would cut the costs of injury Compensation by 65 percent. The costs of compensation would be reduced 48 percent with a $1 million policy. "I think (premiums) would be lower in no-fault than if we keep the current system," said Stephen Carroll, Rand's chief economist The Chief Economist is a single position job class having primary responsibility for the development, coordination, and production of economic and financial analysis. It is distinguished from the other economist positions by the broader scope of responsibility encompassing the and co-author co·au·thor or co-au·thor n. A collaborating or joint author. tr.v. co·au·thored, co·au·thor·ing, co·au·thors To be a collaborating or joint author of: "He and a colleague . . . of the study. "They won't go down, but they should not go up as fast either." New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of experience cited Carroll cited New York state as an example, where no-fault coverage debuted in the early 1980s. A typical New York policy has a $75,000 limit for medical coverage, compared to $5,000 in California, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Carroll. "The rates there were high when no-fault was instituted, and they have since gone up, but at a rate slower than the national average," Carroll said. Last week, Rand issued a separate study indicating that more than 60 percent of automobile injury claims in California are inflated or fabricated fab·ri·cate tr.v. fab·ri·cat·ed, fab·ri·cat·ing, fab·ri·cates 1. To make; create. 2. To construct by combining or assembling diverse, typically standardized parts: , and add $250 a year to the average automobile policy premium. Both studies were issued by Rand's Institute for Civil Justice, which studies and issues recommendations on how to improve public policy. The Los Angeles-based Proposition 103 Enforcement Project, the most visible insurance-related consumers group in the state, is a steadfast foe of no-fault insurance no-fault insurance, type of indemnity plan, usually applied to automobile coverage, in which those injured in an accident receive direct payment from the company with which they themselves are insured. , claiming it drives up premiums. "The problem with no-fault remains the same - the vast majority of states with no-fault coverage consistently have the most expensive premiums," said David Link, a Prop. 103 Enforcement Project staff member. "Not only does no-fault not lower rates for people, they went up after such coverage was implemented." Link pointed to data indicating that seven of the 10 states with the most expensive automotive insurance premiums have no-fault laws. |
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