AUTO INSURANCE BILLS SENT TO A STUDY COMMITTEE

By Bob Katzen

Last week, several bills affecting auto insurance rates, surcharges and premiums were sent to a study committee where bills are rarely actually studied and are essentially defeated. It is a way to kill a proposal without holding a vote on the bill itself. Here are some of the bills that were sent off to a study committee.
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FEES FOR PAYING AUTO PREMIUMS IN INSTALLMENTS (H 1127) – Would prohibit auto insurance companies from charging a fee for processing an electronic payment by a customer without first giving written notification.

“I filed this legislation on behalf of a constituent who was charged a processing fee for paying his automobile insurance bill electronically but was never notified by the insurer that such a fee existed,” said sponsor Rep. Brad Jones (R-North Reading). “[The bill] will add an extra layer of consumer protection and promote greater transparency by requiring insurance providers to notify consumers in writing if they charge a fee for processing an electronic payment. I’m disappointed this bill was placed in a study order, but I plan to re-file it for the upcoming session so consumers will be able to make a more informed decision on how they choose to pay their bills.”

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