The Attorney General's Office remains concerned that certain unfair, deceptive and discriminatory practices continue to take place in the Massachusetts auto insurance market. In 2010, the Attorney General's Office recovered over $33 million for auto insurance policyholders that they were rightfully owed. In addition, the Office of Consumer Affairs ("OCA") reported that the top issue for consumers contacting the OCA and its agencies in 2010 was auto insurance-related questions and complaints. Over 7,000 people contacted the OCA and the Division of Insurance with questions about denial of claims, adjusters, claim delays, and other abuses.
During the public hearing and comment process regarding 940 CMR 28.00, The Regulation of the Sale of Private Passenger Automobile Insurance, the Attorney General's Office has received numerous comments from the industry, interest groups, consumer advocates and victims of unfair practices regarding how auto insurance consumers can best be protected. Some of these comments suggest different, but rigorous ways to protect consumers.
In response to these comments, the Office will take a fresh look at the best way to protect consumers in the auto insurance industry. Although the Attorney General continues to believe that additional consumer protections are necessary, she will not promulgate 940 CMR 28.00 in the form previously published. No auto insurance regulations will be promulgated by the Attorney General without an additional public hearing and comment period.