Pennsylvania Legislators Consider Raising Auto Insurance Minimums

If the legislation is passed, the minimum requirements for auto insurance liability coverage will double.

Online PR News – 15-October-2010 – – Pennsylvania State Sen. Vincent Hughes last month introduced a bill that would raise the minimum amounts of auto insurance coverage that the state requires motorists to carry. The legislation, which was submitted to the Banking and Insurance Committee at the beginning of September, would double the mandatory minimums for all Pennsylvania auto insurance policies.

Currently, policies issued in the state must provide financial protection for at least $15,000 in bodily injury liability for one person per accident, $30,000 in bodily injury liability for two or more people per accident, and $5,000 in property damage liability per accident — requirements which are commonly denoted as 15/30/5.

The legislation would raise these up to 30/60/10.


In a statement released late last month, Sen. Hughes said that the current minimums had become outdated since their implementation in 1991 and that rising costs associated with medical care necessitate an increase in necessary coverage.

Hughes’ assertion is corroborated by a report released by the Insurance Research Council (IRC) in April. The report indicated that hospitals around the nation have been seeing low reimbursement rates from public health insurance programs and, as a result, have taken to billing insurers for excess medical expenses in order to cover the gap left by the inadequate reimbursements. The IRC reported that, in 2007, this form of 'cost shifting' resulted in a total of $1.2 billion in excess charges in 38 states.

The Democratic Policy Committee met to discuss the bill in late September, but it still remains in committee.

To learn more about Pennsylvania auto coverage, consumers can visit where they can also make free use of the online quote-comparison generator.

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