Proposition 103

In response to “Prop. 103 a Nadir for Consumers,” Commentary, March 11:

There they go again! Those insurance industry executives want to bad-mouth Proposition 103 so desperately that they have now claimed victory based on a very reversible and error-laden lower court decision while brushing aside 10 straight court wins by Insurance Commissioner John Garamendi.

It is true that the recent court ruling is a problem for fast resolution of the rollbacks and that only $300 million has been paid back so far. It is equally true that California auto consumers have saved $4.2 billion due to the Gillespie/Garamendi price freezes. Thus, whereas California was the third highest rate change state prior to Proposition 103, it is now the third lowest (behind South Carolina and Pennsylvania).

If you were a fat-cat insurance executive, you’d do your darndest to make 103 look awful, too. If it looks to the other states the way we see it, a consumer triumph, can similar action in the other states be far behind? So AIA even claims no other states enacted rollbacks when in fact two did. Shame on you, American Insurance Assn., for fibbing to the public to protect your bloated purse.

J. ROBERT HUNTER

President, National Insurance

Consumer Organization

and former federal insurance administrator

Alexandria, Va.