Persistency Initiative Qualifies

 

Secretary of State Debra Bowen announced this past Thursday that the proposed automobile insurance “persistency” initiative has qualified for the November ballot.  Proponents submitted more than 800,000 voter signatures to election officials late last year.

The measure, sponsored by the American Agents Alliance, is similar to Proposition 17, the measure funded by Mercury General that failed in June of 2010.  Proponents contend the change would allow companies to extend existing loyalty discounts to new customers who want to switch providers.  This initiative has been updated to address concerns raised in 2010 about rates for members of the military and the unemployed.  Opponents say the change would result in increased rates for motorists who experience a lapse in coverage.