Rhode Island Governor Vetoes Bill on Suing Car Insurance Companies


Rhode Island Governor Gina Raimondo has vetoed a bill that would have allowed individuals to sue auto insurers for triple damages if their vehicle is totaled.

The Democratic governor says the bill, which is supported by the auto-body industry, would make the state the first in the nation where residents will have this legal right.

Raimondo says the state’s Department of Business Regulation already investigates and penalizes the insurance industry in case there is a pattern and practice that violates the law.

In her veto message, Raimondo says the legislation would cause “a significant volume” of litigation and drive up insurance premiums.

The Providence Journal reports the auto-body industry has given donations to Raimondo in the past, among other state political leaders.

Copyright 2019 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Was this article valuable?

Here are more articles you may enjoy.

Want to stay up to date?

Get the latest insurance news
sent straight to your inbox.

(Excerpt) Read more Here | 2019-07-12 14:05:50
Image credit: source


Please enter your comment!
Please enter your name here