A ballot initiative placing auto, home and business insurance changes before voters in 2010 would kill much needed jobs in this state.

One of the initiative’s proposals would require auto and home insurers to arbitrarily reduce premiums by 20 percent.  Insurance companies based premiums on the costs of the products they pay for...medical treatment, vehicle repair and lawsuits.  Arbitrary rate reductions would lead to an exit of companies from the marketplace.

Insurance premiums are a true reflection of the costs of the things that insurance pays for, such as medical treatment, vehicle repair and lawsuits.  Those costs continue to rise significantly.  For example, from 1998 to 2008, the average comprehensive claim (auto theft, window breakage) claim rose 25 percent; the average collision (vehicle damage) claim increased 27 percent; the average Bodily Injury (lawsuit) claim increased 46 percent; and the average Personal Injury Protection (medical, wage loss) claim rose a staggering 250 percent.

IIM urges the Legislature to adopt real reforms.  Read our news release.