Drivers who cause minor fender-benders would not face surcharges on their insurance premiums under a proposal pending before the Texas Insurance Department. Drivers who meet those thresholds face surcharges of 15 percent of the state-set benchmark rates in their county for liability, collision, personal injury protection and medical payment coverages.
Surcharges remain on drivers' policies for three years.
The current thresholds were established in 1985. Bomer will hold a public hearing July 1 before deciding whether to adopt the new thresholds. Rick Gentry, head of the Texas Insurance Organization, a trade group, said surcharges are meant to ensure that drivers who have not had wrecks are not subsidizing insurance costs of those who have. A chronic tailgater, for instance, may not have the economic incentive to change a pattern of careless driving behavior. If adopted, the new rule would apply only to drivers with insurance from rate-regulated companies.