NJBIA: ‘Bad Faith’ Bill Will Drive Up Insurance Premiums
‘Bad Faith’ Bill Will Drive Up Insurance Premiums |
NJBIA is urging lawmakers in the General Assembly to vote no today on controversial legislation, known as the “bad faith” auto insurance bill, that would tip the balance of power in disputes toward attorneys and drive up the cost of auto insurance for policyholders.
The bill, A-1659, is on the Assembly board list this afternoon after its quick approval seven days ago in the Assembly Financial Institutions Committee. The Senate version of the bill, S-1559, was approved by a vote of 21-9 in the upper house 11 months ago.
“While portrayed as ensuring that auto insurance companies act in good faith when settling uninsured and underinsured policy claims, this bill has nothing to do with such concerns,” NJBIA Vice President of Government Affairs Ray Cantor said. “Rather, it has everything to do with enriching plaintiffs’ attorneys by tipping the balance of power into their hands.” |