New Jersey Insurance

Direction: GOV. JIM FLORIO’S radical transformation rules of the State of automobile insurance is criticized by industry officials, business and medical professionals and legislators say that the new law is ill-conceived and ultimately result that neither the increase in premiums for drivers of New Jersey, already pay some of the highest automobile insurance rates in the nation.

GOV. JIM FLORIO’S radical transformation rules of the State of automobile insurance is criticized by industry officials, business and medical professionals and legislators say that the new law is ill-conceived and ultimately result that neither the increase in premiums for drivers of New Jersey, already pay some of the highest automobile insurance rates in the nation.

The new law, say critics, the practice of good conduct subsidies are bad, it is difficult for the people of the state of the greatest cities to find local agents and insurance, which prevents victims from obtaining medical care by doctors of their choice.

In addition, critics say the new law, under which insurance companies to $ 1.4 billion shoulder the common Underwriting Association’s $ 3.1 billion deficit and ensure that all pilots association It is impossible for companies to earn a profit New Jersey. This, they say maybe a few companies to withdrawal from the market, some say an event would have catastrophic consequences.

The elimination of the increase of association and assembly

However, government officials say the law allows insurance companies in this way and a reasonable profit at the same time reduced premiums for good drivers an average of 20 per cent. It does this by increasing rates high risk for pilots and the elimination of common Underwriting Association and the annual allocation of $ 222 paid by most motorists for the association afloat.

The new law, the execution of Mr. Florio versprechen”Junk of the campaign JUA,’’swept by the committee hearings and both houses of the legislature and signed by the governor, on Monday, 43 days after their adoption.

”It was a game of chance and a hope and a prayer,’’said Charles L. Assemblyman Hardwick, Republican of West field. The new law, he says,”believes that insurance companies are pony to $ 1.4 billion”, being paid nearly half the deficit of the association. ”If you do not, “he said”,” a lot of people do not pay their claims.”

The Allstate Insurance Company, the largest state of auto insurance Underwriter, with more than 425000 policyholders federal state, said there will be a means of blocking the progress of the trial, to collect money .

Edward W. Young, Allstate Group’s Vice President for the automatic management, Allstate said that some parts of the law have been clearly unconstitutional. The law, he said,”trying to establish a debt of the State and join insurance companies.”

Constitutionality of hope

State Officials, however, are confident that the constitutional right. ”The reason is very simple,’’said Gregory E. Lawler, legislative M. Florio board and chief author of the law. ”With regard to the Constitution requires that insurance companies the opportunity to earn an adequate return. This is the only issue. The fact that it did not pay the debt on the constitutional question.”

The law provides a mechanism, he said, for companies in implementing the Commissioner of Insurance of price increases, if they can, they are not, to make a profit, after payment of their share of the debt.

But insurers say the law makes it impossible to make a profit in New Jersey, without paying the Association of debts. The reason they are saying is that the insurance industry, now, when $ 111 million annual loss can not absorb the 1.5 million provided by the Joint Underwriting Association pilot, a group of drivers probably risky.

Le”J. U.A. during the year 1989, a loss of about $ 225 million,”Mr. Young said. This, he says, reflects $ 800 million, he obtained as a result of the annual supplement of $ 222.

The new law prevents the market. Without it, he said, the association is on an annual loss of more than 1 billion dollars. As a result, Mr boy said that insurers, the Association for the loss of its own projections loss.

As Dir Christine Todd Whitman has introduced their choice for insurance in New Jersey Commissioner today, it gave thousands of motorists State some bad news: auto insurance of their claims are not paid, anytime soon.

Whitman said the governor of a freeze on paying agency accidental damage to drivers insured by the State headed Market Transition Facility to obtain state officials may be money. There are about 100000 motorists and $ 900 million of receivables, by Governor Whitman, a relief.

“This is only a displacement of all rights are finally paid,” said the governor. “And a system will be established to pay claims for the driver of a car, a period of rigour”. Whitman said the governor, it is not yet defined, in which motorists, in the case of claims.

But the governor’s announcement means that, within minutes of its inception, Drew Karpinski found himself fielding questions at a crisis over the past two years the Florio administration.

Mr. Karpinski, Peapack-Gladstone residents and an insurance agent for nearly 30 years, was a co-founder and former chairman of Burkar Associates Inc., a related insurance business Agency Parsippany. Mr. Karpinski, 53, remains a primary requirement in Burkar, he began the process of transfer of assets from the control of its assets in the company. He said he had no problem with the regulation of companies for which he wrote once. It is to be paid $ 100,225 per year.

Mr. Karpinski, has yet to be confirmed by the Senate, said his first task will be a meeting with representatives of the insurance industry to find a way, accidental damage of motorists in Hall Market Transition Facility .

The installation was created in 1990 to be successful, the deficit-ridden Joint Underwriting Association, another state-run auto system, ostensibly to maintain insurance costs for motorists are not able to buy policies on the open market. The law establishing the establishment of insurance needed to cover a number of quotas, which were designed to gradually reduce the number of drivers are not able to buy voluntary reports on the market because of poor driving records or other factors.

The Joint Underwriting Association went bankrupt three years ago and was evaluating insurance companies a margin to pay its debts. But the Florio administration ignored warnings from its own financial experts, for the increase in premiums for MTF of 63 per cent of solvent.

The MTF before a deficit to continue until last December, that public insurance department “Cash-Call”, the auto insurer $ 217 million for MTF afloat.

Insurance companies to court and won approval to keep the money in a trust account instead turn on him to participate in the state, while the challenge calls for cash is resolved. The New Jersey Supreme Court confirmed last week, the Escrow Treaty, so that the state has no money to pay claims.

Whitman said the governor of supplements to charge insurance companies in the non-functioning Underwriting Association could make it easier for motorists under the MTF, but it would be the legislation. Samuel F. Fortunato, the current insurance commissioner, said the end of last year, confirms that the association would have been $ 700 million of the surplus in 1996.

Garret Assemblyman E. Scott, Republican from Newton, chairman of the Assembly and the Insurance Committee, today called the governor of the decision on freezing assets “an unfortunate byproduct of Florio administrative mismanagement of the state operates the Insurance Pool “.

Mr. Garret also said: “The massive deficit can no longer be swept under the carpet and ignore, this is exactly what the Florio administration chose to do.”

Mr. Garret said he was pleased that the governor and Mr. Karpinski is immediately began to try the money to pay debts, while adding that “Unfortunately, this is the state of a certain time, this disaster behind us.

Direction: Even while state lawmakers have struggled unsuccessfully to reduce automobile insurance rates, New Jersey motorists were beaten with a series of increases in premiums they must pay.

In addition, the State as a legislator, fought unsuccessfully to reduce automobile insurance rates, New Jersey motorists were beaten with a series of increases in premiums they must pay.

This month, the Insurance Commissioner Kenneth D. announced Merin, 13.1 percent Premium Rate increase of 29 companies to ensure that more than 2.2 million nationals of four million motorists, and should soon leave to an additional $ 53 to pay all . The actions in this area, the average annual premium costs for motorists of up to $ 1005

It would be on the sidelines of the second this year. During the month of March began motorists pay an additional $ 73, along with new tax to come, aims to contribute to Bail out the state of the town Underwriting Association. The association consists of two million drivers, and faces a deficit of 2.5 billion dollars. Haute, but not an element

While New Jersey auto insurance prices are rising rapidly, they are not as high as in some areas nearby, a report by the American Insurance Association shows.

According to the association, a car 25 years, chauffeur, a fleet $ 13000 cars purchased in 1986 and $ 100000, liability insurance, full-body protection, uninsured drivers on $ 35000, comprehensive (fire and theft) coverage with a $ 100 deductible collision coverage with a deductible of $ 200 would pay different amounts, depending on where he lived: in Newark $ 1245 per year, Lawrenceville $ 906 $ 1490 in Manhattan , Brooklyn in 2410 to $ Hempstead, LI, 1380 and $ 1075 $ White Plains

The Joint Underwriting Association was created to serve as a pilot can not buy freely in the insurance market because they are considered bad risks. But many drivers with recordings of conduct in the group because of the reluctance of insurance companies to write new policies in what for a bad market.

In addition, the State encourages the provision of insurance agents to place customers within the group by providing 15 percent of its commission, even if the motorist down the policy before the year. When officers were informed in writing a policy of society, they lose part of its Commission, if motorists do not pay premiums for the whole year.

For more companies, the issue of common policy Underwriting Association obtain payment of a fee for this service without risk. All claims are the group. A problem with rates

The group, the problems are exacerbated by a provision of the State in 1985, the right they have been created: the group pursues its prices on the same level as those of most insurance companies in the state . Businesses, however, to avoid heavy losses, because they ensure that drivers are less likely to file a requirement, while the group accept bad risks, as well as good drivers.

Governor and the Commissioner Merin Kean, said the head of why prices are high insurance is the increasing number of complaints zu”Schmerz and Leiden”durch accidents. These appeals were filed, while insurance companies pay an injured motorists automatically medical bills as part of 1973 did not Fehler””Recht. The trade-off for this payment guarantee medical, law provisions which claims to control complaints, but they were ineffective.

Legislators from both parties agree that something must be done for drivers who are the common Underwriting Association about the 800000th They proposed new actions if stones over board insurance companies are competing for business, they are now far.

This competition could be lower rate, if it is fairly interested. In addition, with the insurance group serve only risk poorest, their rate on the basis of requests he has to pay. A compromise is being sought

Democratic control of the Senate and Republican-controlled Assembly have passed, the bills represent different solutions to the problem of insurance and have so far not put at risk. This week, however, Republicans in the Assembly passed a bill the Senate, she had previously refused and the governor. There would be disputes and motorists, new options on the coverage of damage.

Dir Christine Todd Whitman and State Senator James E. McGreevey clashed over property taxes and automobile insurance rates tonight during his second debate on television, just as she wanted to portray as a master of owners and drivers.

In Whippany, during an hour of debate, Ms. Rückert on a feisty defense of his record of delivery and well bred, but strong attacks M. McGreevey, his Democratic opponent, lambasting his plan to reduce self-assurance and his voice, the legislator to support tax increases. The fraude”que in auto insurance is currently within the senator’s proposal because he knows that 10 percent of the restoration can not happen,’’said Mrs. Whitman.

For his part, Mr. McGreevey ruthless hammered Mrs. Whitman’s record and their management, so-called basis, they leave taxes and auto insurance rates going out of control.

He attacked the governor because of trains non-action to implement expenditure, such as cutting taxes, and said:”What this governor has made easy part was cutting the tax on income , But not with the party hardliners in the government, one in his life Structure. ” ‘

Mrs. Whitman strongly defends its record to say that it reduces the tax burden on New Jerseyans by 14 per cent. She said:”There are more revenue into the coffers of the state today, because tax cuts.”

Although Mrs. Whitman’s 30 percent income tax cut contributed to a better than its national driving licence Republican, she is now fighting for his re-election. Recent polls have shown that the race is closer than political analysts.

Voters are frustrated over the payment of taxes plus the nation and auto insurance rates, the two themes that have dominated the debate of the scholarships campaign months.

Mr. McGreevey, is also the mayor of Woodbridge, has been successful in stirring up anti-Whitman, sentiment, but is one of three debates between the candidates as an opportunity to show undecided voters that he has an acceptable alternative .

The attempt to paint himself as a candidate, the struggle will be more difficult for the Working Families État’s, M. McGreevey has appeared comfortable and Well-Schooled in the questions. He took every opportunity to go on the offensive. ”The governor is the page of the auto insurance companies rather than on the side of us, the car of the public,”he said.

He reaffirmed his promise, as governor, he would immediately for all insurance companies to lower their prices by 10 per cent for each driver.

He said that travel would be provided by the State of aggressive efforts for the eradication of fraud in the system, it is estimated that each driver increases the average cost of $ 160 per year.

Mrs. Whitman has M. McGreevey plan, they asked a very simple answer unconstituional. While it is easy”, I did not do it,’’she said. Tom Kean”ne have not done, Jim Florio would have not done, or Brendan Byrne have not done - because that is how long we have a problem.”

Instead, once again Ms. Rückert said that his proposal would lower rates up to 25 percent for drivers, choose to reduce their level of coverage by the agreement on the limitation of their rights to damages after an accident.

Mr. and Mrs. McGreevey Rückert of the town with the Forum Libertarian Party candidate, Murray Sabrin, deserves a place in public debates sanctioned because it is common state matching funds to help his campaign.

Direction: As governor of the race heats up for the candidate at the beginning to confront the high cost of automobile insurance, an issue infuriates almost everyone in New Jersey and is considered as agreed upon by virtually anyone.

When the governor that race heats up, candidates in early confront the high cost of automobile insurance, an issue infuriates almost everyone in New Jersey and is considered as agreed upon by virtually anyone.

With insurance premiums on average more than $ 1000 per year and consumer groups, their anger growing demonstrations around the state Republican and Democratic candidates in recent weeks, the proposed solutions range from deregulation a resumption of the industry.

In most cases, politicians have promised that under his direction insurance premiums could drop.

The question of responsibility for the chaos triggered a bitter exchange between the two senior Republican candidates, representatives of James A. Courter and the Assembly Speaker, Charles L. Hardwick. Everyone says the other could have done more to protect people against the special interests and greedy government policy, a wild awry. Underwriting Association

”It is a Johnny in recent times about this, Mr. Hardwick,’’said Mr. Courter. ”He has not said a word about automobile insurance and all of a sudden, it comes with a bad proposal and attempts to gain advantage with inexpensive. I do not think it is gone.”

An adviser to Mr. Courter, Gordon Hensley, stressed that Mr. Hardwick passed a public subscription, the town Underwriting Association, to provide motorists with poor driving records. The association is now 2.5 billion dollars of debt and is usually acknowleged a public policy fiasco.

”If the conclusion that Jim Courter is the only guy who did not vote for the JUA,’’said Mr. Hensley. Do not forget”.”

At the heart of the exhibition is a no-fault insurance system with headquarters in 1973. The theory behind the no-fault insurance is costly than litigation could be avoided if the driver was offset by reason of the violation of rights of car accidents by his own insurer, regardless of guilt. In addition to cutting a lawyer and legal costs, no-fault speed may also compensate the victims. “Verbal Threshold ‘

No debt laws have been adopted for the country in the early 1970’s against the fierce resistance test lawyers. As a result of pressure from lawyers, the New Jersey legislature passed a law that allowed people to sue if their injuries exceeded $ 200. This threshold was so low that they undermine the no-fault system.

In an attempt to reform in the years 1983, the legislature has passed and Dir Thomas H. Kean signed a law establishing the commission Underwriting Association to serve as pilot was unable to buy insurance companies, because they were regarded as bad risks.

The bill has been profitable for private insurance agents to sell Association of politics, but he was the club, which is the state of private enterprises not - that claims paid. The result is that nearly half of drivers with the State policy of liquidation of the association and the association has a huge debt.

Mr. Kean, M. Hardwick and other political leaders have called for the adoption of a threshold”,” verbal costs in the event of an accident only, written descriptions of serious injuries. But the Senate, controlled by Democrats, voted against the amendment. The revision is

In a message sent to the legislative authority last month, Mr. Kean said, if legislators continue to resist, through verbal threshold, he wants all the no-fault-being insensitive.

But candidates in search of Mr. Kean success Generally, they prefer to revise no-fault, rather than leave. Faced with growing anger of voters on insurance costs automoblie candidates say they can not ignore the issue, or be connected with the current system failures.

A Democrat, Alan J. Assemblyman Karcher, has detailed a proposal to radically alter motor insurance in the state. He had the body of the State protection - insurance that covers medical costs - and therefore pay a fee to the gas pump.

The State Department of Insurance estimates that nearly four million New Jersey drivers now have auto insurance policies, the “verbal threshold” - an option, insurance premiums, but lowers the limits on the actions of individuals bring just to give serious injuries.

And when the driver, take the option of the situation, in a simple way to calculate the premium savings arising out of their choice, a debate on what they have abandoned, and this in a serious injury has occurred in law public since 1989, when for the first option.

This debate will be resolved soon, say the lawyers, if the Appellate Body Division of State Superior Court gives its opinion in a case that most experts agree, the automatic standard for cases of harm to the future predictable.

“This is the turning point of self-insurance issue in New Jersey,” said Gerald Baker, a lawyer, Hoboken, in the case files of mandates on behalf of the New Jersey Chapter of the Association of Trial Lawyers of America.

Mr. Baker said that the car event of injury, so that the complainant, neck and sustained injuries, but did not break bones, for the first time, which is expected the State Legislature, even if it does the verbal threshold option in the assurance of state law.

“What it all depends if we take innocent victims” entitled to an injury, “said Baker.

The case before the Division of the Appellate Body is an appeal against a decision by Judge Burton L. Fundler of Monmouth County Superior Court decided that the victim be barred verbal threshold for appeals to the pain and suffering, whether the injuries were “soft-tissue” Art, As sprains and tribes.

Mr. Baker said the Appellate Body was the division is expected to address two critical issues in the decision of the complaint: What is a “serious” or “sustainable” injuries and the fact that determination of a judge or jury?

Injury lawyers say that many soft tissue injuries can be serious and lasting and that a jury, not judges, it is desirable that this finding. In fact, they say that if a judge process, that the investigation and dismissed soft-tissue complaints, both parties would be seriously injured effect be denied their rights jury studies.

Mr. Baker said that lawyers have been many cases, potential customers were waiting for the division of the Appellate Body of the decision. And in at least one department - Middlesex - Superior Court Trial judge has temporarily suspended the proceedings in 15 cases, injury to the car for an opinion.

Lawyers representing the insurance companies are also pending the decision.

“I believe that the legislature had intended to eliminate most cases easily,” says James Martin, North Brunswick, the lawyer defending both insurance companies and victims of personal injury, remedies is excluded. “Unfortunately, soft tissue injuries of the rule fall into this category.

Mr. Martin said that all soft tissue injuries would necessarily be regarded as low. “Those who are heavy interpretation of the statute,” he said.

But Mr. Baker said that uncertainties about what the injuries were practicable below verbale had worked the disadvantage that some of the victims.

“Some lawyers are only the rejection Soft Tissue case of rowing underway,” he said. “Others are, and then settle cheap.”

Most lawyers, Mr. Baker said simply do not know what to do with soft tissue injuries.

“What do you do if someone walks in your office with a neck, a doctor that the person said, is it important?” he said. “Who decides whether the case in costume? This is a dangerous decision for a lawyer’s request.

He said many lawyers were only doing nothing until it had received some indications of justice.

“I have probably 75 cases in my office now properly,” he says, “and I’m only rely on them.” Shore Tourism

Despite the more optimistic forecasts that businesses booming in Jersey Shore Resort this season, distributors Seaside Heights say that if the summer was hot and cold water, tourism has been at best lukewarm.

In a surprise today to vote for a gubernatorial veto, Republicans control the Legislature repealed a section of automobile insurance State would have the right to prevent insurers tax rates depending on age, sex, family status and residence.

The vote of captivity madman Democratic custody on the legislature should only the first attack against the Republican Jim Florio Dir two years revising the automobile insurance law. Partisan dispute for auto insurance is likely to remain an important theme during the next years gubernatorial race. Praise and criticism

Today’s vote was praised by insurance companies and bitter criticism by Mr. Florio’s Office. Both parties have strongly divergent effects on the provision, known as Section 40, would have been. .

Mr. Florio, in northern New Jersey for a campaign appearance by Democratic presidential candidates, Bill Clinton Dir. The governor of the spokesman, Jon Shure, attacked the vote as “a flagrant Balances insurance to the economy.”

“The legislature seems to believe that, if it is snuck a few days before the presidential elections, the pilots are not paid enough attention to recognize, they were handled,” said Shure. “This means that insurance companies can continue to support prices on arbitrary factors.

The Republicans have voted.

“If article 40 should remain in force, a lot of success with insurance would be considerably increased the cost of automobile insurance,” said Senator John J. Matheussen of Washington Township in Gloucester County, a Republican and ” sponsor a bill that Mr. Florio had veto power.

Pursuant to Article 40 insurers in New Jersey after 1 January next year could no longer higher prices for certain customers based on their age, sex, family status or residence.

Mr. Florio argued that the use of these criteria would be an unreasonable burden on motorists in urban areas.

The Republicans, unlike they are fair reflection.

“The reason why motor insurance in Burlington County are less than Newark, Newark that cars are stolen and destroyed as many,” said Assemblyman Gerald Zecker H. Clifton, a Republican, represents a great Part of the district in the suburbs north of New Jersey.

“Is it fair that the elderly in a county of Burlington should be classified at a youth identical to Newark? asked Mr. Zecker. “Of course not.” Mr. Zecker Co-sponsor of the Assembly bill Assembly Woman Clare M. Farragher of Freehold Township.

The automobile industry, insurance argued that if the section has been implemented may be it would mean that 90 percent of insurance customers would be forced to subsidize the declining rate of 10 per cent should pay higher prices because of the conduct of recordings and other factors to take into account.

Insurance companies had worked hard to weaken the insurance act, in particular Article 40 In addition to the lobby Labour legislator, she bought newspaper ads and sent tens of thousands of letters to customers to generate resistance against the plan. Legislators Republicans said they have received hundreds of letters against the changes.

Amend rating criteria would not have had to reduce the cost of automobile insurance, they simply relocated, “John K. Tiene, editor of the New Jersey Insurance News Service, said today.

Mr. Tiene, whose service provides information to insurance companies, she said that cost “tens of millions of dollars for industry compliance with Article 40 of the law. From veto in June

Mr. Florio, a Democrat, opposed the attempt to remove a part of the legal insurance in June.

The legislature may try to learn more about a veto at any time during his two years and the Republicans have made it clear that to do with this bill. Still, today’s vote began the minority Democrats surprised.

It was not on the agenda for today, either chamber. The Republican leaders decided to vote for his group for a few hours before the meeting began.

For all the countless impassioned speech Jim Florio, in his yearning for Democratic nomination for New Jersey, USA Senate seat, most say two words to those of his campaign, Mr. Florio has refused to comment:”I’m sorry.”

Fans and critics say it is hardly surprising that Mr. Florio, by the Single European Act, that most defines his political career: the $ 2.8 billion increase in value added tax, he pushed the state by the legislature, two months after the beginning of governor.

The tax increases during the year 1990, which provides a tirade of angry voters.

Hinweggefegt Democrats have offices across the country and has lost control of both houses of the legislature. United States Senator Bill Bradley, had nothing to do with the plane was almost collapsed, but because he hesitated months before the release of Mr. By Florio’s tax package. In 1993, Mr. Florio was an exile by a slim margin, more and more as the governor of New Jersey’s modern history to deny a second term.

The increase of value added tax also defines the crucial question, Mr. Florio record as governor. Was it a driving licence prinzipientreue ready is worthy of unpopular causes or an arrogant blunderer tin, whose left ear to contact with the state now wants it to representation in the Senate?

In its campaign against Jon S. Corzine, former chairman of Goldman, Sachs until June 6 Democratic primary schools, Mr. Florio, beyond the mere defence of its decision to raise taxes.

Conceding only that he would have had better explain to voters by a court appointed increase in school funding increase value added tax necessary, Mr. Florio trotziger described as a courageous action of the protection of the fundamental values Democratic Party.

”It is good for Republicans to go beyond a commitment to funding education for all our children, a court decision, said something wrong with a child, the quality of education depends, that the accident of the city, which they live,’’said Florio. ”This type of know-nothing not to lift views on our children are not part of our party. They belong to another party.”

A former Navy boxer Camden County, who spent almost his entire life in politics and practiced law since leaving office, Mr. Florio, 62, have focused on health care, social security and education in his campaign, while the dismissal of Mr. Corzine rich neophyte trying to buy his way into the Senate.

Mr. Florio has been a leader in the polls this year, but to do that, in the last month, as the best-funded M. Corzine began, television will remind voters list by Mr. Florio’s increase in value added tax.

In addition to its disastrous policy Fallout, the value added tax increase raises two questions to Mr. Florio: Was it wise policy and what kind of governor he was never?

With the casting of the value added tax increase as a matter of principle, Mr. Florio hopes to remind voters of his record of activism as governor and members of Congress.

The same principles, “says Florio, has inspired the adoption of the National Rifle Association, the nation’s first and largest, injury to ban weapons. Mr. Florio bat also an attempt for the Republican legislator of the fall of the ban, and was subsequently awarded the John F. Kennedy profiles Courage Award for his efforts.

As governor, Mr. Florio’s New Jersey strengthens environmental laws, the fight against dumping dirtied the ocean, the beaches of the state and creates an office environment of the Crown to go to the polluter.

Before suburban a great dispersion national question, Mr Governor Florio use the office to restrict development, by signing an executive order to require that any new construction was in line with the national development plan.

Mr. Florio Riled insurance companies automatically by the removal of the surcharge $ 220 pilots of the State pays for the risk pool to cover bad drivers, and requires firms to assume that price.

In Allstate Insurance Executives were so angry, who move, and Mr. Florio in other areas that the corporation may drag New Jersey. Mr. Florio responded with these words that Allstate has tried to frighten condition of granting the rate of a large company to grow, and insisted that, if she wanted to pull out of auto insurance in New Jersey, it would be necessary withdraw all insurance companies in New Jersey.

Mayor Rudolph W. Giuliani has a sudden interest in recent weeks in the policy of auto insurance, a topic that is not normally in the areas of the city’s Chief Executive. But the mayor emphasis on businesses have less to do with his interest in the intricacies of their practices and do more with its desire to focus on what he considers to be the most beautiful end of its mandate: lower the leg crime rate.

He railed against insurance companies to a large number of public appearances that companies in dispute have treated people of New York City unfair, because insurance rates have not kept pace reduction 51 per cent of car thefts that the city had between 1990 and 1995.

”It is time to wonder why New Yorkers have not benefited from declining auto theft, Sir,’’said Giuliani.

Indeed, the sector is placed under public regulation, the answer to this question would normally be grappled in Albany, not City Hall. During his attacks, Mr. Giuliani said he tries to translate its fight against crime gains in dollars and cents rewards for residents. After the fight against the automobile insurance rates, he said, this is insurance rates for homeowners because the home burglaries have also in recent years.

While the mayor said he is not a politically motivated tactic, its political benefits are inevitable. With the criticism addressed to businesses and the announcement of the creation of an investigative task force that would be praised hearings, to attend the end of automobile insurance rates enigma, the mayor assured that the issue remains costs coming weeks, perhaps even next year, if it is to win another choice to keep his seat.

Among the challenges awaiting the mayor in elections next year’s elections, some have tried to score early points by critics to him for his management of overcrowding in public schools and its efforts in support of Yankees New York to find a new home. In the meantime, the mayors of insurance appeals to many rural middle class, insurance-paying voters. His anti-Versicherungs-Gesellschaft oratory allows him to trumpet to significant reductions in the city of crime but to ensure an industry that has moved resentment.

”The mayor has set elegantly on a major problem,’’said Steven Goldstein, Vice President of the Insurance Information Institute, an industry trade group. All the time”may be an elected official stand up and refuse the cost of auto insurance, it’s a no-lose situation. Nobody can say that the mayor, they are satisfied with what they pay, because it is not too few, when it comes to auto insurance.”

Other men have also seen the wisdom of this strategy. Jim Florio, the former Democratic governor of New Jersey, adopt changes in auto insurance at lower cost to policyholders in the early 1990’s, but he lost the election in 1993, his command, because the tax increases , Which he agreed to eclipse insurance benefits. And Bob Dole, Republican presidential candidate, wants to be part of reforming the auto insurance debate in the presidential race.

The mayor has assiduously to the regulatory authorities to avoid criticizing or Dir George E. Pataki, a fellow with the Republican mayor tent in the Lot. Mr. Giuliani said the auto insurance prices are likely nur”etwas, nobody was to be met.”

Still, officials, the New York State’s Insurance Department are less than enchanted with the mayor of the new tack.

”We are satisfied to hear what we hear,’’said John Calagna, a spokesman for the State Insurance Department. ”As many press conferences, they are? Perhaps that the division of insurance must appoint its own working group to examine how the mayor of the perception of a tonne of waste in the city, because it would have only if very important.”

Mr. Calagna and industry experts say that the inhabitants of the city to pay an overall rate of automobile insurance - and this applies to such things as car theft and damage caused by fire, vandalism, flying objects and takes an animal - have declined slightly over the past few years, but increases in other insurance costs offset the decline.

Direction: NEW JERSEY pilot had long clamored for a major transformation of the State and costly maroden insurance, perhaps soon that the changes have waited so long.

NEW JERSEY pilot had long clamored for a major transformation of the State and costly maroden insurance, perhaps soon that the changes have waited so long.

In the weeks since Dir Jim Florio’s Fair Automobile Insurance Reform Act swept by the legislature, the State Department of Insurance has held the draft regulations necessary, Mr. Florio the comprehensive plan.

This week, Division officials said, it requires a great first step in this direction, putting a bulletin describes proposed rules, a timetable for cars for Förderfähigkeit””Punkten damages are assessed against a person’s license.

The issues arising from the Division of Motor Vehicles points can be used with other criteria to define a class for good drivers”,”, to benefit from lower prices than those who are vulnerable to accidents.

In addition, they say, in the coming months, several other regulations, changes the way auto insurance bought and sold in New Jersey.

Agent insurance is necessary, for photos of all vehicles used fraudulently provided help to deter theft and damages. A federal state was set free on-line for a weitere”benutzerfreundlich”Versicherungssystem, and details are underway to develop a mechanism allowing the officer to identify and track the estimated total cost of driving 400000 without security assurance.

In addition, an alternative to high premiums, just the same branch of insurance, or at least its periphery. Two former commissioners State have a mutual insurance company Austausch””Versicherungs member of the achievements of the individual-form, promises of insurance premiums by 15 per cent less than those generated by traditional insurers.

”We welcome the fact that in the markets,’’said Samuel F. Fortunato, the state appointed the new Commissioner of Insurance. ”It demonstrates that in the insurance business in New Jersey, is now a good “deal.”

The shares of $ 3 billion deficit

Yes, Mr. Fortunato was recently coaxed out of retirement by Mr. Florio to take, what is perhaps one of the least enviable positions of countries, the government has good reason to welcome the interest of the insurer to sign the State. In the wake of the governor’s initiative several companies have said, she wrote to cease the policy in New Jersey, and eight times more than the insurers have continued the state to block its attempt to bring together the largest of them part of the town Underwriting Association’s $ 3 billion deficit.

”All the time we get a company here and meet with them in a conference room, we rejoice because we do not, in a courtroom,’’said Fortunato. ”We seem to meeting a number of companies in a courtroom.”

Notwithstanding the fact that Mr. Fortunato said that the division is with plans for conversion of the crippled state insurance sector, with the priority objective, lower premiums for good drivers. a first step, he said that the development of objective criteria defined, a good driver. The fair automobile insurance Reform Act establishes three categories of drivers:”Standard”Klasse accounting for 75 percent of drivers safer state ein”Standard”Klasse, comprising 15 percent of motorists and governments”’Risiko-Klasse, comprising 10 percent of insured drivers, the worst driving records.

Decision of the left largely Companies

With the law, by default and standard classes must be voluntary insured market, while the pilot default may be up to 35 per cent more than the pilot by default. There are no specific criteria for the distinction between these two classes, this decision is left largely on insurance companies.

The allocation of group risk, but the insurer on a voluntary basis from the measures they write. There is no ceiling for the premium that these drivers are loaded.

The point that the department proposes timetable, it is objectively officials determine to which group will be the driver. The calendar notes the existing division of motor vehicles with the timing point and adds other injuries, for the points assessed.

Including drunken driving, nine points, wobei”in”Verschulden involved in an accident, four points and fictitious registration number or registration certificate, to five points.

Definition of “Good Driver” Classification

Officials said that the remark calendar was adopted, they would then determine at what level a person would be deemed ineligible for the voluntary coverage of the market - as defined der”gut”Fahrer classification.

But simply to define good and bad drivers are not alone solve the problem of expensive insurance, “said Fortunato. With 75 percent of drivers of the state to pay less premiums, he said, some find the means necessary for the demand for dollars and other expenses paid by insurance companies, if the system remains stable.