Bodily injury, property damage liability hikes will go into effect July 1
/EINPresswire.com/Texas officials announced Wednesday that they will be raising bodily injury and property damage liability rates within the state-run program that covers high-risk motorists, reports Online Auto Insurance News.
Rate increases for the Texas Automobile Insurance Plan Association (TAIPA) will amount to a 24.1 percent overall hike for personal passenger auto policies. The new rates go into effect July 1.
Drivers with tarnished records who are repeatedly denied coverage by insurers still need to get the best car insurance available to them, and programs like TAIPA meet that need by offering a safety net that covers motorists who have been denied by two or more insurers, usually due to having a history of too many claims or moving violations.
The overall hike included increases of 31.9 percent and 20 percent to bodily injury liability and property damage liability, respectively. TAIPA’s optional coverage of personal injury protection or uninsured/underinsured motorists saw no changes.
Source: http://www.tdi.texas.gov/bulletins/2012/cc10.html
The average base rate for a policy covering only minimum bodily injury and property damage liability is $578, according to calculations made under the new rates. Depending on the territory and driver class, actual premiums will vary between $289 and nearly 10 times that.
TAIPA provides the lowest liability amounts allowed by law, offering 30/60/25 coverage. That means the policy provides for up to $60,000 worth of bodily injury liability coverage per accident (and $30,000 per person) along with $25,000 worth of property damage liability coverage per accident.
Available optional coverage includes up to $2,500 for personal injury protection and uninsured/underinsured motorist coverage that matches the policy’s liability limits.
The program does not provide collision or comprehensive coverage. Its policies are typically more expensive than policies acquired through the voluntary market. Also, traffic tickets incurred while insured through TAIPA will lead to surcharges that are “higher than in the traditional market,” according to the association’s website.
For more on this and related issues, head to http://www.onlineautoinsurance.com/companies/best-car-insurance-company/ for access to an easy-to-use quote-comparison generator and informative resource pages.
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Media Contact:
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Online Auto LLC
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http://news.onlineautoinsurance.com/
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