Changes to auto insurance laws are complex and have deadlines
JANESVILLE — Requirements for Wisconsin automobile insurance change Nov. 1, and by June 2010 every Wisconsin driver will be required to have liability insurance.
The new mandates were approved by the Legislature and signed into law in June by Gov. Jim Doyle as part of the state budget.
Andrew J. Franken, president of the Wisconsin Insurance Alliance, answered questions about the changes:
Q: What changes take effect Nov. 1?
A: Several things.
-- Underinsured motorist coverage becomes mandatory. Motorists must carry coverage of $100,000 per person and $300,000 per accident. This covers you if you are hurt by another motorist who doesn't have enough insurance.
-- Minimum uninsured motorist coverage increases to $100,000 per person and $300,000 per accident. The minimums now are $25,000 and $50,000.
-- Minimum medical coverage increases to $10,000 from $1,000. Consumers must provide a written rejection for this higher level of coverage if they don't want it or cannot afford it.
-- For umbrella liability policies, insurers will be required to provide written offers of uninsured and underinsured coverage. Previously, no written offer was required.
An umbrella policy provides broad coverage for liability above and beyond the liability limits covered by an underlying auto insurance policy.
For umbrella policies already in effect that do not include uninsured or underinsured motorist coverage, insurers must provide the written offer at the time of first renewal.
Q: How do people know if these changes affect them?
A: I encourage people to contact an insurance agent to review their own needs and be prepared before the new laws take effect.
Q: What other auto insurance consumer changes are taking place and when?
A: Beginning Jan. 1, 2010, the liability insurance minimum increases to $50,000 for bodily injury or death of one person, $100,000 for bodily injury or death of two or more people and $15,000 for property damage. The minimum now is $25,000/$50,000.
Beginning June 1, 2010, minimum liability coverage will be mandatory and drivers will need to have proof of this insurance with them when driving.
Q: What will be the impact of these new regulations?
A: Higher auto insurance costs for everyone. The increases will vary from person to person. Some people who already have the coverage they need to comply with the new laws may be affected less. Those who are not insured or who have the minimum limits of insurance today will see a more significant impact on the cost for their auto insurance.
Dec 10, 2009 at 4:48 p.m.
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I feel that some people are just plain ignorant. I do not work, because I cannot get a job. If I could afford even the minimum, I would pay it just to get the jobs that are open, but require insurance! But I can't. My husband works, but it's not even enough income to support our family and pay the bills in full, so how are we suppose to afford insurance? Why is this a free country again? Seems that anything and everything has some kind of stupid law! MEXICO has more freedoms than we'll ever have. That's why the people from there are happy even if they're poor and we're all stressed out! Lay off on the taxes and laws already!
Nov 10, 2009 at 2:17 p.m.
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Many states have had mandatory insurance laws for a considerable peroid of time but none of them have been able to eliminate uninsured motorists entirely. It just isn't going to happen. Hopefully the number, currently about 15% in Wisconsin, will be dramatically reduced but it's never going to be zero. You have individuals who are willing to drive without any license or with one that is suspended or revoked. They lack a sense of social responsibility and they're not going to quit driving because they don't have insurance.
Oct 27, 2009 at 11:52 a.m.
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I'm just curious how all the unemployed people are going to be able to afford to keep up or get new insurance coverage on their vehicles? Unemployment barely is enough to keep a roof over your head and pay for groceries. Not having any transportation will make the job search much more difficult, especially since all the jobs available are outside of Rock County.
Oct 26, 2009 at 11:49 p.m.
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amishbob and warfdude - couldn't agree more. A-holes with no insurance should not be allowed to drive and their drivers license taken away and insurance companies need to go to DOT and get their drivers license revoked and jail time until they do have minimum limits - no questions asked. Get the people loss of drivers license and 6 months in jail and that may change their mind. I have been hit by an uninsured driver and so has my brother and know of several people in WI also who have had to pay far too long for the non-insured drivers. The people I work with in IL cannot believe WI allows drivers license for uninsured drivers. WI is 1 of 2 states in the 50 who have been idiots far too long thanks for Gov. Jim Doyle and other idiots running this state.
Oct 26, 2009 at 3:27 p.m.
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Four years ago I had a van do a non stop U-turn right in front of me that resulted in me T-boning the van. My truck was totalled. The driver of the van was an illegal alien who didn't have a drivers license. The driver of the van was found to be 100% at fault for the accident. My first thought was that if they didn't have a drivers license then they probably didn't have insurance. I was already preparing to pay out of pocket for the replacement of my truck or watch my premium go up if I made the claim on my insurance. However, the van owner wasn't the driver and the van had been registered in North Carolina, which already has a mandatory insurance law like this in place. The van owner's insurance company covered the loss of my truck without my premium going up. What are the chances of that same van having insurance if it had been registered in Wisconsin? Slim to none?!
Oct 26, 2009 at 3 p.m.
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Democrat supporters love paying more out of their pocket. That's why they vote for democratic candidates.
Oct 26, 2009 at 12:26 p.m.
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No one seems to realize that the insurance companies were allowed to gamble our premiums in the stock market. As always if the investments pay off they win (and pocket the profits), if they lose money they just raise our rates to cover the losses. If you already carry the new coverages, you should see no change in your rates. But you know that won't happen, not when they can use the excuse that the legislators are at fault. There needs to be mandatory insurance for all drivers. If you drive without insurance and get in an accident and can not pay, it should be a felony offense with mandatory jail time. You make the consequences harsh enough, then there will be compliance. Too often I have had people that have hit my car and skate around their responsibilities. Also, the new minimums in all reality don't cover todays costs.
Oct 26, 2009 at 12:18 p.m.
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This is not about insurance companies. This is all about blood sucking trial lawyers and the Democrats that love them.
Oct 25, 2009 at 11:30 a.m.
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Hannah, you seem to live on ccap. Mind your own business. If someone has a record, oh well, it is in the past and none of your business. We should all call you "Snoopy"
Oct 24, 2009 at 11:18 p.m.
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Someone please tell me why my insurance will go up if I already have equal or above the future minimum liability limits? You'd think with more people having to have insurance and more money going to the insurance companies, my rates would go down, not up? Someone explain to me why MY rates would go up, not down????
Oct 24, 2009 at 1:37 p.m.
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So how do us poor folk afford this? Will there be a stimulus package for us?
Oct 24, 2009 at 5:18 a.m.
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So yet again, we are stuck paying for what other people don't have :(
Oct 24, 2009 at 12:44 a.m.
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"I'm a huge fan of mandatory insurance. My question is if it's mandatory and everyone has to carry it, why do we also have to carry uninsured coverage. If everyone has to have it, we will have no uninsured motorists......correct?"
The answer would be because your left wing crook of a Governor gets a dump truck load of campaign contributions from the trial lawyers lobby and it's not enough for them that everyone have insurance, they need to have enough insurance for them to bilk every time one of their no account clients, who will probably be driving without insurance themselves, run into your car.
Oct 23, 2009 at 10:31 p.m.
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Then the we can expect taxes on insurance within a short time. as Doyle has the power to tax anything and everything. from cigs and beer to our mandatory insurance.IMO
Oct 23, 2009 at 9:06 p.m.
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I'm a huge fan of mandatory insurance. My question is if it's mandatory and everyone has to carry it, why do we also have to carry uninsured coverage. If everyone has to have it, we will have no uninsured motorists......correct?
Oct 23, 2009 at 5:23 p.m.
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I wonder if governor Doyle is working for the insurance companies! We should not be paying for others because they are underinsured or uninsured. Will our bills go down when it becomes mandatory for everyone to be insured????
Oct 23, 2009 at 5:20 p.m.
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I just got my renewel for my vehicle and it was $13.00 more a MONTH. Can't wait to see how much it will go up after January 1st when it will go up again. Thanks, Jim Doyle!
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