The California Auto Insurance Discount Initiative proposal will allow consumers to receive a discount for their years of continuous automobile insurance coverage regardless of the company where they seek insurance. Presently the law allows only the company where you are already insured to offer the discount, which rewards the insurance carrier rather than giving you the consumer control over your longevity discount. This will increase competion between insurance companies thus lowering costs.
The new initiative also gives provisions that protect the continuous coverage history of our men and women in the military, those who suffered from economic downturn, young drivers on preparing to leave home.
We support the new initiative as it will allow consumers to take their longevity or loyalty discounts from one carrier and apply it to a new carrier rather than having to start all over when a consumer elects to change carriers. This is good for the consumer!