Auto Insurance Rates Reduced In 2011 - New Announcement

High-risk drivers in the state of Texas who are insured through the Texas Automobile Insurance Plan Association (TAIPA) welcomed the recent announcement made by state regulators regarding a reduction of rates on TAIPA insurance policies for the year 2011.

TAIPA provides insurance cover to drivers in the state of Texas who are refused cover by insurance companies as a result of them being classified as high-risk drivers, and drivers in the state of Texas may apply for insurance policy from TAIPA if they have been refused insurance cover by at least two insurance providers. Although the rates of TAIPA insurance policies are set to reduce in 2011, the minimum bodily injury liability limits will still be increasing in 2011.

The reduction in rates of TAIPA insurance policies is understood to be fairly significant, around 7.6 percent lower than current rates. The increases in the minimum bodily injury liability limits are also quite significant, and as of January 1, 2011, drivers will have to ensure that they are covered for up to $30,000 worth of protection for bodily injury liability per person, $60,000 per accident and $25,000 for property damage liability. Following the increase in the level of cover required, experts recommend that consumers shop around for their insurance, in order to ensure that they secure the cover they require at the best rates possible.