Opinion: Editorial

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Every budget proposal seems to have its share of controversial measures, but Gov. Jim Doyle’s most recent one seems to have drawn some particularly spirited and decidedly diverse opposition. Maybe that 6-10 Packers season has every lawmaker just a little grumpier, but it’s more likely Gov. Doyle keeps putting contentious issues in a budget whose first priority is to account for a $6 billion shortfall.

The latest section of the budget repair bill to come under scrutiny is a provision raising the minimum coverage for those that hold auto insurance policies in Wisconsin. In proposing the raise, Doyle seeks to elevate Wisconsin to the forefront of insurance standards. The new minimums would rank Wisconsin fourth among all states in terms of mandated coverage.

Any move, therefore, to increase the costs of insurance — here estimated at a 33 to 43 percent increase — will likely serve to deter people from renewing or purchasing policies in the first place. This is not advisable, considering Wisconsin’s percentage of uninsured drivers is below the national average.

Such a coverage hike makes even less sense when one considers that, according to the Property Casualty Insurers Association of America, 90 percent of claims were covered by the current minimum coverage requirement in 2007. Furthermore, the average claim of $19,100 is well within the $85,000 mandated by law today and only 4.5 percent of the $425,000 in coverage that Doyle is seeking to force upon those already holding policies.

We not only object to the ideology behind this measure but also to the magnitude. By forcing citizens that hold policies to increase all coverage by a net 300 percent, Doyle would foist a sudden, drastic increase in cost on pretty much everyone except the lawyers — which might explain why they support the measure.

Finally, unlike plans for the early release of prisoners, unionization of faculty or creation of a domestic benefits registry, this proposal has no business in the budget. The costs of this initiative will be borne solely by insurance companies and citizens, not the state. The benefits are completely dependent on the public’s response to the price increase and thus unpredictable in any way reliable enough to be counted on to contribute to balancing the budget.

Doyle should seek legislation to mandate drivers be covered by insurance, rather than forcing those that already have coverage to pay more. Instead he has chosen to add yet another bump to an already rough legislative session. So buckle up Wisconsin, it’s going to be one wild ride.


3 Comments | Leave a comment

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This was a well thought out editorial supported by strong facts, i was impressed. good work herald. If you could only get those liberals to take note.

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“Doyle should seek legislation to mandate drivers be covered by insurance, rather than forcing those that already have coverage to pay more.”

I agree 100%!!!!

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Finally, and editorial that’s relevant to students…

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