The Car and Truck Fleet and Leasing Management Magazine

Utah Bill Would Raise Insurance Requirements

February 19, 2008

SALT LAKE CITY, Utah --- A new state bill in Utah seeks to raise the minimum liability insurance requirements for state drivers from $25,000/$50,000/$15,000 to $30,000/$60,000/$20,000.

According to the Salt Lake Tribune, the controversial measure was held in a House committee Monday, Feb. 18. On Feb. 14, the Senate passed the bill (SB 149) on a vote of 16-13.

Critics of the bill include the Property Casualty Insurers Association of America, which warns that close to one-third of Utah's drivers could expect to pay 10 percent more, or an extra $72 per year, the Salt Lake Tribune reported.

"The average accident in Utah results in $2,700 in property damage and $11,000 in injuries," the association's northwest regional manager Kenton Brine said in a news release. "There is no good reason for the state to force people to carry $30,000 in coverage for an $11,000 accident."

Supporters of the bill include senators Sheldon Killpack (R-Syracuse), the bill's sponsor, and Lyle Hillyard (R-Logan).

"Policy limits right now are just small amounts compared to the damage caused," Hillyard said. "You spend a couple of days in the hospital and you have severe injuries, you'll easily exceed $25,000."

 

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