NEW CHANGE IN THE LAW COMING FOR AUTOMOBILE INSURANCE POLICY LIMITS IN CONNECTICUT
For many years, the law in Connecticut has required that automobile insurance policyholders must hold insurance coverage of at least $20,000 per person, $40,000 per accident for bodily injury, and $10,000 per accident for property damage. There was recently a push to increase these policy limits in an effort to make individuals more whole when they are in an accident. A couple of reasons behind the need for an increase in these policy limits were increased medical costs and increased automobile costs, as well as the fact that the current limits of $20,000 per person, $40,000 per accident for bodily injury and $10,000 per accident for property damage often times fail to provide reasonable compensation in the event of an automobile accident.
The legislature recently increased these automobile insurance limits, which increase will take effect on January 1, 2018. Specifically, the new law, set forth in Public Act 17-114, changes the minimum requirements above by increasing the limits to $25,000 per person, $50,000 per accident for bodily injury, and $25,000 per accident for property damage. While this may result in increased rates for some people, the hope is that these increased minimum automobile insurance policy limits will provide some additional compensation in the unfortunate event of an automobile accident. Please be mindful of this change in the law which will take effect on January 1, 2018, so any minimum automobile policy limits will need to be increased in accordance with this change in the law.