General Assembly Vote Tracker

HB114 – Increasing Auto Insurance Coverage Limits

Right now, your car insurance has mandatory minimum levels of coverage with respect to property damage and personal injury damages per person and per accident.  Those levels right now are set at $5,000 for property damage, $15,000 for bodily injury to or death of 1 person, and $30,000 if 2 more more person.   Those limits are from 1983.

What cost $15,000 in 1983 would cost roughly $35,960.54 in 2016.  Yeah, there has been a tinsy bit of inflation over the last 34 years. So this bill would raise those mandatory minimum limits to $10,000 for property damage, $30,000 for bodily injury to 1 person and $60,000 to 2 or more persons.

AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO BODILY INJURY AND PROPERTY DAMAGE COVERAGE ON MOTOR VEHICLES.


SPONSORS: B.Short, Sokola, Keeley, Mitchell, Paradee, Bonini, Bushweller, Delcollo, Ennis, Hansen, McDowell, Poore, Walsh, Baumbach, Bennett, Jaques, Q.Johnson, Kowalko, Longhurst, Lynn, Matthews, Osienski, Ramone, D.Short, Viola, Wilson


YES VOTES:


NO VOTES:


HISTORY: Assigned to the House Economic Development/Banking/Insurance/Commerce Committee on 4/4/17.


STATUS: Waiting for hearing in committee.


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3 comments on “HB114 – Increasing Auto Insurance Coverage Limits

  1. The impetus behind this seems to be a reassessment of the values on property and bodily injury after 34 years. Which sounds familiar. Perhaps we should apply this logic to property values as they relate to property taxes? Anyone who supports this bill should also then support similar actions toward property taxes and reassessment.

    • This is an excellent point. I’ll also note that this change in mandatory insurance coverage also will increase the insurance bills for those who need to increase their coverage. Since the mandatory minimum will now be higher (and presumably will better capitalize the insurance pool) perhaps the insurance companies won’t have as much credibility is claiming so much harm from ending the use of credit reports and zip codes to price coverage.

      • Perhaps a less advertised motive for this bill was to do exactly as you suggest. Soften the “blow” to insurance co’s in regards to nixing credit report & zip code use.

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