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New auto insurance law takes effect

Posted On Tue, June 1, 2010

The law requiring all Wisconsin drivers to have auto insurance went into effect today, making it illegal to drive without coverage.

While Wisconsin becomes the 49th U.S. state requiring that all drivers have auto insurance (New Hampshire is now the only one that doesn't), some in the state say that not everyone will comply.

Andy Franken, president of the Wisconsin Insurance Alliance, told the Milwaukee Journal-Sentinel that 14 percent of drivers in the state don't have insurance, and that little of that percentage will feel compelled to do so despite the law. And, he said, as costs go up, even more will forego it.

The lawmakers that pushed the bill through say there will be incentives in place to entice people without insurance to get some, but many insurance agents around the state have said they haven't seen an uptick in business, the article said.

Meanwhile, those that cannot afford car insurance in California can now get a $400 plan from the state Department of Insurance, according to the Los Angeles Times. Individuals making less than $27,075 a year qualify, as do families of four making less than $55,125.ADNFCR-2297-ID-19811874-ADNFCR

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