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News
News
On September 30, two new safe driving laws will take effect in Massachusetts
LoPriore Insurance – Up In Lights!
Safe Driving Law Takes Effect October 1st
International Driving Permit: A Good Idea for International Travel
Are You Properly Covered For Summer Fun?
FEMA Inspectors Now Assessing Storm Damage in Seven Massachusetts Counties
MassDOT Now Offers Online Plate/Registration Cancellation
Attorney General Martha Coakley Recovers Additional $12 Million in Motorcycle Insurance Overcharges for Massachusetts Consumers
Total Refunds to Consumers Under AG Coakley’s Motorcycle Insurance Settlements Now Stand at $33.8 Million
BOSTON – Today, Attorney General Martha Coakley announced that she has reached settlements with five more auto insurance companies over allegations that they overcharged tens of thousands of Massachusetts residents for motorcycle insurance. Today’s settlements, which will return $12.1 million to consumers, center around allegations that Arbella Mutual Insurance Company, Hanover Insurance Group, OneBeacon Insurance (aka Massachusetts Homeland), National Grange Mutual (NGM), and Norfolk & Dedham Group (N&D) used inflated and un-depreciated motorcycle values to calculate premiums for Massachusetts motorcycle riders, resulting in more than $12 million in overcharges. The Attorney General’s Office reached similar settlements involving seven other insurance companies earlier this year. In total, the 12 insurance companies that have settled with the Attorney General’s Office are paying back more than $33.8 million to Massachusetts residents and over $1.5 million to the state.
“We began our industry-wide investigation into motorcycle insurance based on a single consumer complaint. To date, that investigation has forced 12 insurance companies to return more than $33 million to Massachusetts motorcycle owners,” said Attorney General Coakley. “As this investigation demonstrates, and as the insurance companies in this state know, when consumers bring complaints to our office, we listen and we take action.”
Today’s settlements stem from allegations that these insurance companies were illegally using inflated motorcycle values to calculate premiums and failing to depreciate motorcycle values as policies renewed. For example, the couple from Lynnfield that filed a complaint with our office owned a 1999 Harley Davidson Road King Classic. In each year between 2003 and 2008, our office found that Safety Insurance Company had charged the couple premiums as if their 1999 Road King Classic were worth $20,000. However, by 2008, the couple’s motorcycle was nine-years-old and worth less than $12,000. As a result, Safety overcharged the couple by more than $1,500. For more information about how the overcharges occurred, including charts depicting the overcharges, visit www.mass.gov/ago/motorcycles.
Under the terms of today’s settlements, Arbella is required to pay $6.3 million to consumers, Hanover is required to pay $2.5 million to consumers, OneBeacon is required to pay $2.1 million to consumers, NGM is required to pay $645,679 to consumers, and N&D is required to pay $554,480 to consumers. The insurance companies are also required to make payments to the state that total over half a million dollars.
As a result of this industry-wide investigation, the Attorney General’s Office has identified over 100,000 policies that are eligible for refunds under the settlements reached to date. Average refunds under the settlements are around $320. To date, exact refund amounts have been calculated for 96,656 policies. Of those policies, more than 18,500 policies are eligible for refunds over $500.
In order to be eligible for a refund under the settlements, consumers must have purchased collision and/or comprehensive coverage for their motorcycle and their motorcycle must have been overvalued by their insurance company. Consumers who purchased insurance from Arbella, Hanover, Safety Insurance, Plymouth Rock, N&D, OneBeacon (aka Massachusetts Homeland), Pilgrim Insurance, Metropolitan Property & Casualty, Liberty Mutual, or Quincy Mutual can check the Attorney General’s Motorcycle Insurance Settlement Webpage to find out if they are eligible for a refund and how much they will receive. Refund checks are expected to be mailed by most carriers by the end of the fall; Liberty Mutual and Quincy Mutual completed the initial refund process earlier this year.
These cases were handled by Assistant Attorney General Glenn Kaplan, Chief of Attorney General Coakley’s Insurance & Financial Services Division, Investigations Supervisor Arwen Thoman, Mathematician Burt Feinberg and Economist Bryan Lincoln also of Attorney General Coakley’s Insurance and Financial Services Division. The original consumer complaint was handled by Rebecca Dutra, a mediator in Attorney General Coakley’s Insurance & Financial Services Division.
On September 30, two new safe driving laws will take effect in Massachusetts
1 - Texting While Driving will be illegal for all drivers.
The penalties are:
- 1st offense-$100 assessment
- 2nd offense-$250 assessment
- 3rd or subsequent offense-$500 assessment
Drivers cannot use any mobile electronic device to write, send, or read an electronic message including text messages, emails, instant messages, or accessing the internet.
2 - Junior operators, those under the age of 18, will not be able to use their phones at all, not for texting or talking.
The penalties for junior operators are:
- 1st offense-180-day license suspension
- 2nd or subsequent offense within 3 years-1 year license suspension
- $500 reinstatement fee
LoPriore Insurance – Up In Lights!
LoPriore Insurance Agency launched its first billboard effort earlier this month – check out our great new digital billboard on Route 93 North in Stoneham
Safe Driving Law Takes Effect October 1st
The state’s new “Safe Driving Law,” signed by Governor Patrick earlier this month, will take effect on October 1, 2010.
The major provisions of the law provide that any driver caught composing or reading a text message can be cited and fined $100. Operators of public transportation vehicles who violate the ban will be subject to a $500 fine. Drivers under age 18 are prohibited from using any type of cell phone or mobile device with or without a hands-free feature while driving will be subject to a $100 fine, a 60 day license suspension and will be required to complete a driver attitudinal retraining course before the license is reinstated. Drivers 75 and older will have to undergo a vision test every five years in order to renew their licenses.
Law enforcement will have the authority to stop any driver suspected of texting; however, the offense will not be considered a moving violation and will not be subject to an insurance surcharge.
International Driving Permit: A Good Idea for International Travel
When traveling overseas, carry an International Driving Permit ... even if you're not planning to drive. Should you need to communicate with foreign authorities, this recognizable form of identification can help you get on your way more quickly.
Valid in over 150 countries, the permit contains your name, photo and driver information translated into ten languages. Please note that International Driving Permits may not be issued more than six (6) months in advance of desired effective date.
To obtain your driving permit, simply print out the application, fill in the information requested and bring it with you to the AAA office nearest you. The fee for obtaining the permit is $15. You may also obtain your International Driving Permit via mail. Simply enclose your completed application form, two original passport-type photos (each signed on the back), a $15 permit fee and a photocopy of both sides of your driver's license and mail them to the AAA office nearest you. You should allow four to six weeks for processing.
Are You Properly Covered For Summer Fun?
Summer is here – and as the weather continues to warm, people head outside for barbeques, the beach, and family get-togethers. But before you light up the grill or open your pool for the season, take a moment to ensure your insurance coverage supports this summer’s plans for fun in the sun.
Rental Vehicles
Most auto policies cover a rental vehicle but it’s important to check your insurance policy before leaving for vacation to verify your coverage and/or determine whether any special circumstances warrant any additional coverage.
Backyard Hazards
When people think of homeowner’s insurance, they think of the policy covering a loss or damage to their house or personal property. Homeowner’s policies also provide liability coverage when someone makes a claim against you for injuries or that happen at your home or as a result of your activities. Check your insurance policy at the beginning of the summer season to see to if special safety measures – such as a fence, pool cover or locked gate – are required by your carrier to minimize the chance of someone getting hurt. Special safety equipment may also be required if you own a trampoline.
Vacation Rentals/Home Exchange
Before you rent a cottage or summer home, check with your insurance agent to ensure that your primary homeowners policy extends to the property where you’ll be staying. As a renter, you are generally not responsible for damages caused by unavoidable accidents but you could be considered partially responsible for damages due to negligence. You should also check to see if your policy covers personal belongings you take on vacation or whether you need additional or temporary personal property coverage.
Renting Your Vacation Home to Others
If you plan to rent your vacation home this summer, it’s important to review your insurance policy before any renters step foot on your property. Once you review your policy, you may choose to add additional liability, bodily injury or medical payment insurance to cover your risk. You should also determine whether your homeowner coverage extends to damage caused by renters and if the policy covers furnishings in your home.
FEMA Inspectors Now Assessing Storm Damage in Seven Massachusetts Counties
More than 130 disaster housing inspectors under contract by the Federal Emergency Management Agency (FEMA) are currently performing inspections for registered homeowners, renters and business owners in seven counties whose homes or businesses were damaged by the severe flooding that began on March 12.
Recovery officials said that more than 9,000 damage inspection requests have been received to date. Nearly 50 percent of the requests, or 4,269, have been completed and returned to FEMA. Most housing inspections are completed within four days after an inspection is assigned.
Registration is the First Step
Residents of declared counties must first register with FEMA if they are seeking assistance. This can be done online at www.DisasterAssistance.gov, or by calling toll-free 800-621-3362 (FEMA), or (TTY) 800-462-7585 for those with a speech or hearing impairment. Representatives are available 7 a.m. to 10 p.m. local time, seven days a week. Multilingual assistance is available. Once registered, applicants can easily stay in touch with FEMA to track their status.
Eligible applicants may receive:
- Federal disaster-assistance grants from FEMA and/or
- Low-interest home and business disaster loans from the U.S. Small Business Administration.
- Payments to individuals made to cover uninsured or underinsured disaster-related expenses. Examples of these are emergency home repairs, temporary housing or assistance toward the replacement of a destroyed home, and other serious unmet disaster-related expenses.
- Information about various disaster-assistance programs can be found online at www.DisasterAssistance.gov.
Damage inspections are critical to the FEMA application process because they document damage. Inspectors do not determine whether an applicant is eligible or provide estimates on damages.
Understanding the Inspection Process
- Damage inspection is free.
- A FEMA inspector will contact an applicant by phone to schedule an appointment.
It is critical to update FEMA with current contact information, including a phone number and accurate directions to the damaged property. An applicant who is unable to return for the mandatory damage inspection may authorize an adult agent to be present.
- A street address is required since post office boxes do not show locations.
- An inspector will try three times to schedule a damage inspection appointment. Delays may occur if you cannot be reached.
- Owners and renters must show proof of occupancy such as a utility bill or landlord statement.
- Owners must also show proof of ownership.
- Each inspection generally takes 30 to 40 minutes.
Be Alert for Disaster Fraud
FEMA inspectors carry official photo identification with their name and the words “Under contract to FEMA”printed on it. Residents should ask for this photo identification before allowing an inspector inside their home.
Official inspectors will never ask for money or use a vehicle bearing a FEMA logo. If money is requested for an inspection or an applicant feels someone is misrepresenting themselves as a FEMA inspector, this should be reported to local police.
Massachusetts counties declared as major disaster areas March 29 are: Bristol, Essex, Middlesex, Norfolk, Plymouth, Suffolk and Worcester counties.
FEMA Disaster Recovery Centers Open in Massachusetts
On Wednesday, April 7th, FEMA opened Disaster Recovery Centers (DRC) in five of the seven counties declared major disaster areas. Each DRC is staffed with FEMA and state agency disaster recovery specialists who are ready to help survivors through the process of applying for disaster assistance.
Hours of operation will vary at each center. Locations and daily hours are:
Essex County Flint Public Library 1 South Main Street Middleton, MA 01949 Hours: Monday - Thursday: 10 a.m. - 7 p.m. Friday: 10 a.m. - 5 p.m. Saturday: 10 a.m. - 6 p.m. Sunday: 1 p.m.- 5 p.m. |
Worcester County |
Norfolk County |
Middlesex County |
Worcester County |
Plymouth County |
Homeowners, renters and business owners are urged to register before visiting a DRC by calling FEMA toll-free at 800-621-FEMA (3362). Multilingual operators are available.
Those with speech or hearing impairment may call TTY 800-462-7585 to apply. The toll-free telephone numbers will operate 7:00AM to 10:00PM daily until further notice. Registration can also be done online at www.DisasterAssistance.gov.
MassDOT Now Offers Online Plate/Registration Cancellation
MassDOT now offers online plate/registration cancellation. However, please note that this transaction can only be processed online if you physically have at least one plate in your possession. If you do not have at least one plate in your possession, you must complete an Affidavit For Cancellation of Registration for Lost Plate(s) and either bring the completed form to a branch office or mail it to the address on the form.
With this no fee transaction, you may cancel your MA Plate/Registration. You will be able to print out your Plate Return Receipt once you have processed the transaction.
A plate return receipt is an important document that will enable you to cancel your vehicle insurance and also provide proof of when you took your vehicle off the road. You may need this document to request an excise tax abatement or to provide as proof of when you stopped using your vehicle.
Visit https://secure.rmv.state.ma.us/platereturn/intro.aspx for more information.
