Politicians pretend they care

To the editor:

I just received my car insurance policy renewal for the year. The catastrophic claims premium is $597 for three cars. That is $199 per year per car. The basic coverage on my 2006 Chevrolet pickup is $268 per year, which is very reasonable, but with the $199 charge it comes to almost double.

My 2010 caravan full coverage rate is $347 per year. But adding $199 for the catastrophic fee comes to $546.

I thought that this catastrophic fee was never supposed to go above $35 per year per car when it was first started. But someone manages to slyly raise it steadily and nobody says a word. For the last three of 50 years it was at $167. Now I see it has jumped to $199.

Over five years ago when our new representative was elected we had a letter in the paper that said the Catastrophic Claim Fund was more than $2 billion. But I haven’t heard a word since about the total value of it. What is it worth now, $3 billion? And who is overseeing this fund? Who is held accountable? Not a word do we hear.

I am not advocating to delete this coverage. I’m saying the charge on each of our car policies should be reduced by at least $100 to $150 per year.

This would sure help a lot in reducing car insurance costs, especially for small business owners or large families who have three or more vehicles on the road.

The politicians pretend they want to reduce the cost of car insurance, but their solutions don’t help much, because they ignore and hide the real problem — the catastrophic claim association PiP premium.

I’d like to see some real numbers on this fund. What is it worth now? How much is paid out in benefits each year?

If the fee per car is reduced by two-thirds, it can always be raised gradually again if it drops below $1 billion, for instance.

Kathleen Keranen