New Jersey auto insurance agents will have a lot easier time quoting and writing new policies under a bill signed yesterday by Gov. Jon S. Corzine.
The bill, which had awaited his signature since last month, eliminates the so-called “three scenarios” rule, under which agents were required to show three different coverage scenarios to a client as part of a quote.
The new law also ends the mandate that an agent provide quotes to a client from each of his carriers.
The bill carried the backing of both the Professional Insurance Agents of New Jersey and the Independent Insurance Agents and Brokers of New Jersey.
Both rules had become a burden for New Jersey agents since the Garden State opened up its auto insurance market in 2003, and carriers flocked back into the state, the agents’ groups said.
“Consumers were confused with the numerous documents they were required to review and sign, many which did not apply to them specifically,” said Jeanne M. Heisler, government affairs representative for IIABNJ.
Added Jack Lynn, PIANJ president: “The requirement for agents to provide quotes for all their represented companies had placed an unnecessary obligation on insurance agents and did not serve consumers because it failed to take into account all factors that agents consider when offering coverage options to consumers.”
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