AAUW of Oregon Public Policy Alert – March 15, 2020

Following is a timely alert from Patricia “Trish” Garner, AAUW of OR State Public Policy Chair; and AAUW National Public Policy Committee member. Action requested BY THURSDAY, MARCH 19.

Hi Everyone – I have just discovered a problem that I believe we need to fix ASAP.

There’s a proposed change in auto insurance coverage in the works that will have a significant negative impact on caregivers, and we need to communicate our objections by this Thursday, March 19th.  Click on “Continue Reading” to access additional information, contact information and template language you can use to reach out to our representatives by this date.

Under current Oregon law, if you buy an auto insurance policy, everyone who drives your car gets the same level of monetary coverage that covers you and that you paid for.  A caregiver is currently defined as a “permissive user” of a client’s vehicle.  Oregon also requires that all policies must cover at least $25,000 — the state minimum coverage.  Under the proposed change allowing “step down” coverage, the policyholder and a caregiver who actually lives in the home of the policy holder will be insured at the stated amount but all other drivers will be covered only at the state minimum coverage level ($25,000).

The Division of Financial Regulation is considering rules that will govern the marketing of these “step down” policies.  At the least we want to make sure that this caregiver exclusion is clearly and explicitly stated.  People need to know what they are buying.  We don’t want someone to believe that a caregiver driving a car with the driver’s permission has just as much insurance coverage as the owner.  Pennies saved now could cost significant sums down the road.  Also – plain and simple, the Division of Financial Regulation should also require that caregivers who are performing duties for a client or a loved one be covered at the same rate as the policy holder.

To communicate your concerns about these proposed rules, email or send a letter to DFR.Bulletin@oregon.gov by Thursday, March 19th.  Your email should identify its subject as: “Guidance on the use of step-down limits in auto policies.”

Should you wish to see the proposed rule, here’s a link: https://dfr.oregon.gov/laws-rules/Documents/Bulletins/proposed/dfr-20200219-draft.pdf

Below, you will find some template language you can use; it will be significantly improved and more persuasive if you add something personal to it.  I would also appreciate your sending an email to me (garner37@mac.com) letting me know you have sent something,

Thank you!  This is important!

Trish Garner
State Public Policy Chair,
AAUW of OR
Member National Public Policy Committee, AAUW
503-407-2341
garner37@mac.com


TEMPLATE LANGUAGE FOR REACH-OUT TO THE OREGON DIVISION OF FINANCIAL REGULATION

TO: The Oregon Division of Financial Regulation at DFR.Bulletin@oregon.gov

RE: Guidance on the use of step-down limits in auto policies

I want to express my serious objections to the adoption of a rule that would allow caregivers who don’t live in the home of policy holders to be covered at the state minimum level, rather than the policy holder’s level.  At the very least this option should be clearly identified and highlighted, but given the problem that many of us face when reading a lot of printed material, this “step down” practice should not be allowed in Oregon.

The proposed change will expose many Oregonians to liability that may seriously impair their financial situations, not to mention potentially bankrupt them.  The impact will also likely be disproportionately experienced by older Oregonians and those without significant financial resources.

The “step down” change should not be adopted.

Thank you.

__________________________________ (Name)

_________________________________ (City / Town of Residence)