{"id":7935,"date":"2014-03-19T08:00:36","date_gmt":"2014-03-19T15:00:36","guid":{"rendered":"https:\/\/www.freeway.com\/?p=7935"},"modified":"2014-03-19T08:00:36","modified_gmt":"2014-03-19T15:00:36","slug":"new-law-may-change-pennsylvania-auto-insurance","status":"publish","type":"post","link":"https:\/\/www.freeway.com\/blog\/car-insurance-3\/driving-laws\/new-law-may-change-pennsylvania-auto-insurance\/","title":{"rendered":"New Law May Change Pennsylvania Auto Insurance"},"content":{"rendered":"

Senate Bill 1040 (SB 1040), a new Pennsylvania statute in the works, may profoundly change how drivers receive auto insurance<\/a> coverage throughout the state. SB 1040 has been receiving growing support among the state\u2019s lawmakers, and if approved, will enable Pennsylvania drivers to receive their proof of auto insurance electronically.<\/p>\n

The legislation would allow insurance companies to deliver financial responsibility cards electronically, enabling drivers to display proof of insurance from their mobile devices \u2013 as long as both the insurance carrier and driver agree to the arrangement. Pennsylvania follows a nationwide trend \u2013 as of this writing, a total of 29 states have adopted e-card laws and\/or regulations that permit drivers to display evidence of insurance coverage with their smart phone during a traffic stop.<\/p>\n

According to the Property Casualty Insurers Association of America, the 29 states are: Alabama, Alaska, Arizona, Arkansas, California, Colorado, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Minnesota, Mississippi, Missouri, North Dakota, Oklahoma, Oregon, Tennessee, Texas, Utah, Virginia, Washington, Wisconsin and Wyoming.<\/p>\n

Deductible policies may go the way of dinosaurs<\/b><\/p>\n

In addition to allowing drivers to receive their proof of auto insurance electronically, the law will also make it possible for drivers to sign up for collision coverage \u2013 without a minimum deductible. At the present time, state law requires that all drivers have coverage with a minimum $100 deductible in order to cope with the costs related to collision coverage.<\/p>\n

Legislation attracts strong support<\/b><\/p>\n

If signed into law, the requirements of the bill will be applied within 60 days, but will not affect insurance policies until they are up for renewal with their carrier. Thanks to the support of various auto insurance<\/a> companies, the bill is expected to sail through without the usual long, drawn-out debates.<\/p>\n

Stiff Penalties for Losing Insurance Coverage<\/b><\/p>\n

Like all other states, Pennsylvania law requires all Pennsylvania motor vehicle owners to maintain vehicle liability insurance on a currently registered vehicle. To be in compliance you must have liability insurance in the following amounts:<\/p>\n