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DEL.ICIO.USSays Staton of Oxendine: He’s cooking the numbers
The Atlanta Journal-Constitution
Earlier this week, we told you that state Insurance Commissioner John Oxendine had put out a letter criticizing S.B. 276, a bill to expand the rights of policy-holders with uninsured motorist coverage.
Oxendine said the measure, now in the House, would cost Georgia consumers an extra $400 million a year — or an extra $92 for the average policy-holder.
But the sponsor of the bill, state Sen. Cecil Staton (R-Macon), says that’s not what the insurance commissioner told him last month. Staton has put out a response, basically charging Oxendine of caving to insurance companies. Here an excerpt:
“Over six weeks ago, we asked Commissioner Oxendine’s office for an evaluation of the fiscal impact of this legislation, and representatives from his office assured me, in writing, that industry estimates showed a potential increase in uninsured motorist rates that was marginal at best.
“However, earlier this week, representatives from Commissioner Oxendine’s office called and informed me of his intention to oppose Senate Bill 276 on the grounds that it will represent an overall premium increase of 14 percent for Georgians.
“Yesterday, over a month after our initial request for information, Commissioner Oxendine changed his numbers yet again and informed us that the mandates of Senate Bill 276 will represent an overall premium increase to Georgians of 21.3 percent!
“However, the research provided to us early in this process shows that Senate Bill 276 will increase the premium less than $4 per month.
“I regret that Commissioner Oxendine is siding with the insurance companies and against Georgia’s drivers. Georgia drivers deserve to collect the insurance they are paying for and, and they should have the same access to coverage the citizens in our sister states currently enjoy.”
Comments
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By John
April 13, 2007 1:52 PM | Link to this
Of course Oxendine is caving in to the insurance companies on this one. Insurance companies would lose money on this one despite the fact it makes perfect, logical sense.
Premiums going up??? Come on now!
By andy
April 15, 2007 9:57 AM | Link to this
I guess John forgot to bring his calculator as he raced around the state with his blue light (note the past tense in the word race) or rides across the state in govt. aircrafts. Does John really think the insurance companies have more votes than the drivers of Georgia in his next race of ___ (you fill in the blank: inept insurance commissioner or wanna-be-governor)?
Andy
By Bo
April 17, 2007 12:18 PM | Link to this
You’re smoking something if you don’t think Insurance Companies are going to raise rates to keep their profits up. This bill would change the way the UM coverage is accessed and current rates don’t take into account UM coverage being used the way it is proposed. Companies will raise rates to cover their exposure. I work for an insurance company, and you better believe rates will go up. No company is going to pay out more money and not take more in.