Will this impact my insurance policy?

The new law increases the minimum limits for coverages related to the liability portion of your auto insurance policy. This includes uninsured and underinsured motor vehicle coverages. The new minimum liability limits will increase to 25/50/15* beginning July 1, 2020. All existing policies with lower limits will renew at the new minimum limits on or after July 1, 2020 as mandated by this new state law. If your coverages are increased to comply with the new minimum requirements, there could be an impact on your premium.

*What do the three numbers mean?

The numbers 25/50/15 represent the monetary limits of your liability coverage shown on your declarations page:

• The first number, 25 or $25,000, is the maximum coverage for bodily injury liability for one person injured in one accident.
• The second number, 50 or $50,000 is the maximum coverage for bodily injury liability for all persons injured in one accident.
• The third number, 15 or $15,000 is the maximum coverage for property damage liability in one accident.

Why is this happening now?

Implementing changes required by a new law can take several months. While the law is going into effect now, the process to implement these changes was set in motion in 2019 after the law was passed.

What is the reason for this change?

The current limits have not been adjusted for more than 40 years. The change provides more protection for Arizona drivers since services associated with these coverages, like medical and repair costs, have risen significantly in that time.

How will this work? Do I need to do anything?

No action is required. All existing policies with lower limits will renew at the new minimum limits on or after July 1, 2020, as mandated . However, it may be a good time to reach out to your State Farm agent to review all of your coverages and review potential discounts.

When will this happen?

The new law goes into effect July 1, 2020. Customers who are impacted will see the change in their next policy renewal after that time.

How does this impact the credit we’re receiving from the Good Neighbor Relief Program?

You will still receive your credit as part of the Good Neighbor Relief Program. If your policy was renewed with the new minimum liability limits, your premium may be adjusted to reflect that as well. Both should be clearly marked on your State Farm declarations page as part of your policy renewal.

Signed into law by Governor Gretchen Whitmer, the PIP reform options take effect July 1, 2020.

Mandatory unlimited PIP coverage has been in place since 1973. PIP’s unlimited, lifetime medical benefits are paid regardless of fault and have led to increased fraud. As a result, Michigan auto insurance premiums are some of the highest in the nation.

Among the reforms to Michigan’s auto insurance system are:

• more coverage choices,

• creation of a fraud bureau,

• a fee schedule for the amounts health care providers can charge for auto insurance-related injuries, and,

• mandatory rate relief for consumers and more.

Be Prepared.

While much of the reform won’t take effect until July 2020, it’s not too soon to talk to your State Farm agent to review your current coverages.

State Farm continues to work with legislators, industry partners and other allies to promote reform solutions that benefit customers.

The fine, while hefty, is nothing compared to the anguish distracted driving causes.

On Oct. 28, 2015, Joe Tikalsky was retrieving his newspaper from the road outside his home. A texting driver struck and killed the popular New Prague school bus driver.

Today his family advocates for distracted driving awareness.

Burying a loved one as a result of a preventable act is inconceivable to many. The Tikalskys’ hope Minnesota’s Hands-Free law keeps other families from experiencing their grief.

“Don’t be the person who decides someone else’s fate,” says Joe's daughter-in-law Tammi Tikalsky.

Unfortunately, the Tikalskys are not alone.

A 2018 Minnesota State Patrol report found distracted driving contributed to 1 in 4 Minnesota crashes. That's an average of 59 deaths and 223 serious injuries per year.

Minnesota is the 17th state to prohibit a person from holding a wireless device while driving.

Don’t be a distracted driver.

Distractions cause you to lose focus on safely operating your vehicle. Manual, visual or cognitive distractions are even causing many to drive dumber in their smart cars.

Texting, is among the worst of all driver distractions. Activities like reading a text message, taking a selfie or updating social media while driving are illegal and dangerous. Avoid the temptation by keeping your phone out of reach while driving. Pull over and park in a safe location if you must use your phone. Or, ask a passenger to make a call or send a text for you.

Currently, 48 states and D.C. ban text messaging for all drivers. State Farm continues to advocate for automobile and highway safety legislation at the state and federal level.

Still fighting the urge to pick up your phone while driving?

Apps like State Farm Drive Safe & Save can help improve your driving habits. To learn more about the new law and ways your can qualify for policy discounts, contact your local State Farm agent.

Instead, it was the beginning of a campaign to protect victims of drunk driving crashes.

In November 2017, Amanda Petrylak, a State Farm^® employee in the Charlottesville, Va., Operations Center, was headed home with her 8-year-old daughter, Claire.

Driving down the road that leads to their subdivision, she watched as the truck in front of her swerved to the right.

Before she could react, a car coming toward her in the wrong lane slammed into her car head on.

Amanda had multiple injuries, and Claire spent 10 weeks in a head and neck brace that restricted mobility.

Ironically, the decision not to insert a rod and fuse the breaks in her daughter’s neck changed the charge for the intoxicated driver who hit them from a felony to a misdemeanor.

“We learned the way the law was written has not kept up with medical advances,” Amanda says. “In Virginia, in order for a DUI accident to be a felony, the victim has to suffer permanent damage.”

Today Amanda and Claire have healed physically.

“Claire is doing the stuff she loved to do before,” her mom says. “But sometimes things that remind her of the crash trigger her emotions.”

Amanda and her husband, John, have struggled, too. Working with their local delegate, they attended hours upon hours of hearings, petitioning for the law to be changed so a victim of a crash caused by an intoxicated driver does not have to suffer permanent damage for the charge to be a felony.

They testified before the House of Delegates’ Courts of Justice subcommittee, Senate Courts of Justice Full Committee and the Senate Finance committee.

Their efforts paid off. On Feb. 23, the Virginia General Assembly passed HB1941, making it a felony to drive drunk and seriously injure an innocent person.

“We’re still in shock, but so happy this is now a reality,” Amanda says. “Our goal was to keep other victims from going through what we’re experiencing. We are so thankful to the General Assembly for listening to us and helping protect other victims of drunk drivers.”