Once again, there is a bill on the Arizona House Floor to increase the minimum financial responsibility limits from 15/30/15 to 25/50/25. Arizona has one of the lowest thresholds for auto liability limits in the nation. If this bill passes, it would be the first increase since 1972.
The proponents of the bill argue that current auto liability limits have not kept up with the cost of living and that the current rates are not adequate enough to cover bodily injury and property damage from even a minor accident. The opposition argues that the increase in limits places an undue hardship on Arizona’s most economically disadvantaged. After much debate, the Arizona Legislature passed House Bill 2254.
The bill is currently on Governor Ducey’s desk for signature. If the bill is signed and becomes law, the effective date of the increase in automobile policy limits will take effect July 1, 2019.
This change in limits will affect many of our clients here at CREST Insurance. We will continue to keep a watchful eye on the outcome. More to come.