Wisconsin Auto Insurance Changes

Wisconsin recently passed a new bill which will lower coverage limits for Wisconsin auto insurance according to an article found in the Badger Herald by Andrew Averill. Coverage limits were previously raised in hopes that it would save money, but the Democrats had other ideas for lowering premiums.

As of now, Wisconsin law requires auto insurers to cover $50,000 for bodily injury, $100,000 for 2 or more people, and for property damage it's $15,000. The new bill changes the limits to $25,000, $50,000, and $10,000 respectively. This is a big difference and should have an impact on Wisconsin cities and perhaps other northern cities such as Seattle auto insurance will be influenced.

Jeff Fitzgerald, the assembly speaker in Wisconsin, saws the previous law ended up increase auto insurance rates for good drivers and even limited options for consumers. He believes the new law will help people shopping for auto insurance by giving them more choices in coverage plans. He sees this bill as the perfect combination of consumer choice and consumer responsibility. Hopefully it achieves that goal.

Mandatory Auto Insurance

Wisconsin has recently become one of the last states to make auto insurance mandatory. According to the article "Mandatory Auto Insurance Hits Wisconsin" by Hilary Dickinson found on beloitdailynews.com, Wisconsin drivers now face a $500 fine if they are caught driving without the proper auto insurance coverage. They are the 49th state to implement this type of law.

Not only does the law state you must have auto insurance, but you must also carry proof of such auto insurance coverage. Drivers will need to carry their policy card with them, either in the car or in their wallet. If a driver happens to be pulled over and cannot show proof of insurance then they may face a ticket and a fine.

Experts are debating if the fines are going to be enough incentive to get more people to carry auto insurance. Car insurance rates are currently high and even by shopping around and seeking to compare car insurance, some people simply cannot afford the extra cost during these tough times. Since the law went into effect there has not been a significant increase in Wisconsin drivers purchasing car insurance. Experts state that the type of person who would abide this type of law already carry auto insurance because it's the financially responsible thing to do.