WITI-TV, MILWAUKEE -
This summer could be more than a bump in the road for some Wisconsin drivers. In June a new law goes into effect requiring you to have auto insurance.
Of the millions of drivers in the state of Wisconsin, about 1 of every 10 motorists is not insured. Wisconsin lawmakers passed a bill hoping to drive that number down.
June 1st, it's required by law to have insurance, but some insurance agents like John Young aren't preparing for a parking lot full of business. Young says, "You benefit if you do get hit by somebody and they have insurance versus before if they didn't...Will they get the insurance? There's we'll see we'll see how many more people have insurance versus before the law."
Young believes now that lawmakers have mandated a minimum amount of coverage, the average policy holder will be paying more. He estimates about a 5%. Young explains, "I'm surprised about that, but it's a necessary need so I guess I'll be spending that 5%." Meaning on average $100.00 extra per year. Young wonders who has an extra $100 lying around?
Young says the cash crunch could be worse for those who've had minimal coverage in the past. "I've seen the rates go up 30, 40, 50 percent on those drivers...I've seen some where it's been $1,200 for six months, and now it's $2,000.
Because it may cost more for the mandatory minimum, it's possible the law may make it more difficult for some uninsured drivers to get coverage. Young says, "If they can't afford the insurance now, how are they going to afford it when it's mandatory."
Just because your rates go up is no reason to panic. Young says because Wisconsin is so competitive in auto insurance there's likely a cheaper policy out there for you.
Of the millions of drivers in the state of Wisconsin, about 1 of every 10 motorists is not insured. Wisconsin lawmakers passed a bill hoping to drive that number down.
June 1st, it's required by law to have insurance, but some insurance agents like John Young aren't preparing for a parking lot full of business. Young says, "You benefit if you do get hit by somebody and they have insurance versus before if they didn't...Will they get the insurance? There's we'll see we'll see how many more people have insurance versus before the law."
Young believes now that lawmakers have mandated a minimum amount of coverage, the average policy holder will be paying more. He estimates about a 5%. Young explains, "I'm surprised about that, but it's a necessary need so I guess I'll be spending that 5%." Meaning on average $100.00 extra per year. Young wonders who has an extra $100 lying around?
Young says the cash crunch could be worse for those who've had minimal coverage in the past. "I've seen the rates go up 30, 40, 50 percent on those drivers...I've seen some where it's been $1,200 for six months, and now it's $2,000.
Because it may cost more for the mandatory minimum, it's possible the law may make it more difficult for some uninsured drivers to get coverage. Young says, "If they can't afford the insurance now, how are they going to afford it when it's mandatory."
Just because your rates go up is no reason to panic. Young says because Wisconsin is so competitive in auto insurance there's likely a cheaper policy out there for you.
