Millions of Californians save hundreds of dollars per year by buying car insurance through groups like unions, clubs, senior associations, and professional associations. Insurers may also offer discount programs by grouping together consumers of similar professions who are deemed to be lower risk of having an accident. Discount programs like these are commonly referred to as “affinity group” programs.
These discounts are in jeopardy. California’s Insurance Commissioner, Ricardo Lara, is proposing costly new regulations that would eliminate these group insurance discounts that millions of Californians rely on to save money.
If insurance companies are unable to offer group and occupation discount programs, millions of Californians – including healthcare workers, teachers, firefighters, seniors, and many others – would end up paying hundreds of dollars more for car insurance every year.
Group discount programs have been allowed in California since voters passed Proposition 103 in 1988. Since then, millions of Californians save hundreds of dollars a year on auto insurance through these discount programs.
But these discounts would go away if costly new regulations are approved by the Department of Insurance – leaving millions of Californians to pay hundreds of dollars more per year for auto insurance.
A broad coalition of leading organizations, including labor, business, education veterans, and faith-based groups, is coming together to oppose taking away affinity group insurance discounts from California consumers.
American College of Sports Medicine
American GI Education Forum Foundation
California Association of Realtors
California Building Industry Association
California Credit Union League
California Hispanic Chamber of Commerce
California State Firefighters' Employee Welfare Benefits Corporation
Ecuadorian-American California Chamber of Commerce/El Salvador Chamber of Commerce
HOPE For All: Helping Others Prosper Economically
LA/OC Building and Construction Trades Council
National Association of Home Builders
National Latino Evangelical Coalition (NALEC)
New Genesis Housing Development
PIFC - the Personal Insurance Federation of California
The Society of Professional Journalists