(AUSTIN)
The approval January 23 by the Texas
Insurance Commissioner of rules to
implement the “cents-per-mile
choice” law has been hailed by the
Texas National Organization for Women
(NOW) as clearing the way for Texans to
demand that insurance companies make
this choice available to all of their
customers.
If
insurance companies cooperate with what
the law and new rules authorize, car
owners can choose either the annual rate
or the new cents-per-mile rate for their
car’s profile group. Owners can decide
when to buy miles of protection in
advance and how many miles to buy at a
time to suit budget and convenience -
much like buying gasoline.
According
to NOW, selling insurance miles like
gasoline also reduces administrative
cost for companies because car owners
are responsible for monitoring their own
car's odometer - like watching the
gasoline gauge - and for buying more
miles as needed to keep insurance
continuously in force. Fraud is strongly
discouraged because disabling or
tampering with a car’s odometer voids
the insurance coverage and is also
punishable by severe fines and jail
under federal and state odometer law.
Supporters
of cents-per-mile choice have developed
a web site with more information at
www.centspermilenow.org.
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