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You are here: Home / News / Walker repeals auto insurance mandate

Walker repeals auto insurance mandate

April 12, 2011 By Jackie Johnson

Governor Walker signs Act 14. (PHOTO: Jackie Johnson)

A new law aims to reduce auto insurance rates. Governor Scott Walker signs a bill that repeals the auto insurance minimum coverage mandate. The new law will eliminate the increases in auto insurance coverage that were passed in the 2009 state budget by the Democrat-controlled legislature.

Walker says “Not only making it more affordable to have car insurance in this state, but ultimately, I think it’s one more example of sending a message not just to consumers, but to employers in this state that this is a good state to do business in.”

Under the law passed two years ago, the mandated minimum auto insurance liability coverage increased to $50,000 for injury of one person, $100,000 for two persons, and $15,000 for property damage. Act 14 will roll back those increased mandatory minimums, returning them to 25/50/10.

Democrats say the extra coverage was to help pay for the rising costs of traffic crashes. But Walker says families don’t need higher premiums. He cites his two teenage kids as examples. “I know just adding more drivers to your family adds to your bill.”

Walker says repealing this “anti-consumer mandate” is good for middle class Wisconsinites and small businesses. All Wisconsin drivers are required to carry “underinsurance” coverage.

AUDIO: Jackie Johnson report 1:37

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Filed Under: News Tagged With: Scott Walker



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