What is going on with MA Auto Insurance in 2008?
You have probably heard that change is brewing for all of us that insure a personal automobile in MA. The plan, approved by the MA Insurance Commissioner, calls for a one year transition from April 1, 2008 through March 31, 2009 from our current system where rates are set by the state to “managed” competition. During this time there will be no change in how rates will be established based on the basis of sex, race, creed, national origin, religion, occupation, income, education, homeownership, credit score or age (Drivers age 65 or older will continue to see a reduction in rates as required by MA law.) In the remaining 49 states these factors, and more, are routinely used by insurance companies to set auto insurance rates – hence the Commissioner’s use of the term “Managed” Competition for Massachusetts.
