2007 House Bill 5250

Restrict territorial auto insurance pricing

Introduced in the House

Sept. 19, 2007

Introduced by Rep. Bettie Cook Scott (D-3)

To prohibit auto insurance companies from setting prices on the basis of territories that subdivide the state into more than 20 zones, even if claims vary widely for different areas within zones of that size. Also, to prohibit premium prices in the cheapest zone from being more than 45 percent less than those in the highest zone (i.e., impose rate bands), with certain limited exceptions.

Referred to the Committee on Insurance