OCR Text |
Show Utah Insurance Commissioner Gets Safe Driver Insurance Plan A new low cost automobile insurance policy and a "safe driver" rating plan which will reduce insurance costs for many Utah car owners were made public this week by two national na-tional rating organizations 'on behalf of their more than 200 affiliated companies. The new policy and plan, which were offered by the National Na-tional Bureau of Casualty Underwriters Un-derwriters and National Automobile Auto-mobile Underwriters Assn., were filed with Insurance Commissioner Commis-sioner E. Virgil Norton with a proposed efetcive date of February Febru-ary 15. The two rating organizations also announced that basic premiums pre-miums for both private passenger passen-ger automobile physical damage insurance and liabilit yinsurance will be increased in accordance with the losses of the companies. The NAUA sadi that the average aver-age statewide level for physical : rinmae'e insurance will be in- package and from the reduction of handling expenses through use of modern electronic processing process-ing equipment in the issuing and servicing of policies," the NBCU and the NAUA stated. For motorists who qualify, the following additional discounts will continue to apply: a discount of 30 per cent for farmers, 25 per cent discount for each additional addi-tional car in the family, 10 per cent driver training discount and 10 per cent discount on liability and collision insurance for compact com-pact cars. The automobile physical damage dam-age and liability basic rate revisions re-visions are not related to the introduction of the new policy and plan. These revisions are based on a review of the latest available loss experience data of the companies, which in Utah has begun to climb slightly, reversing re-versing a previous downward trend that permitted a slight creased 5.6 per cent, while the NBCU said the average for liability lia-bility insurance will increase 9.7 per cent. Premiums vary by rating rat-ing territory throughout the state. A rating territory, is an area of the state in which the car is principally garaged. For three out of four Utah motorists insured by the affiliated affiliat-ed companies those with clear driving records savings under the safe driver plan will more than offset any increases in basic premiums that might apply to I those drivers. 1 The rating organizations de- scribed the special policy as a "package" policy which may af-( af-( ford liability, collision, comprehensive compre-hensive and other insurance coverages designed to meet the needs of the individual motorist at an overall savings for most motorists of approximately 10 per cent under the proposed cost of comparable coverages brought out separately. The new premiums will be further reduced as much as another an-other 15 per cent for those motorists mo-torists who, by their good driving, driv-ing, qualify for reductions under the safe driver insurance plan. "The new low cost special policy is possible because of savings sav-ings resulting from the combining combin-ing of several coverages in one |