Evening star., 1926-09-26
AUTO LIABILITY
RATESASURPRISE
New Compulsory Insurance
! System in Bay State Re-
/ duceS Cost to Motorists.

: Distinct surprise has been created
+: among motorists and insurance men
= generally by the announcement Of
= new automobile liability insurance
rates. which will go into effect on
= January /, when the Massachusetts,
compulsory protection law becomes
= operative. The costs, compiled by
State officials after months of work,
/. appear to be from 8 to 25 per cent
+. under existing rates for the same form
. of coverage.
. In announcing the new rates and
the schedules and classifications which
: govern them the insurance commits
. sioner said that he has set up three
= districts in the State for insurance
. purposes, instead of the present
/. eight districts. Estimates furnished
: by the commissioner indicate that the
I. new law will add $1S.O0O.00 a year at
d.. the outset to gross premiums for auto
= mobile insurance in the Bay State.
. The largest decrease in rates is in
. metropolitan Boston, where. according
!. to the commissioner, rates have been
]. altogether too high. On the other
= hand. rates in many rural sections
j. have frequently been too low. it was
: pointed out.
IdSStUStF Z dTS NFOuVeU.
" For rating purposes private passen-
. ger automobiles have been classified in
= three groups. determined by the list
!. price. size, power and controllability
- of each car In metropolitan Boston
!. light models will take rate of $29.
!. This will give the owners protection
= only in Massachusetts. Should they
!. desire coveraEe in any other State in
. the Union as well. lhey will pay s. ad
= ditional. The law itself applies only
= TO Massachusetts.
/. Heavier and larger ears will cost
/. their owners $40 in insurance premi-
{. ums in the Boston territory. The
. heaviest types will he assessed an ad-
!. ditional $5 in the Boston area.
: One surprise in the new rates was
. the announcement that taxicabs would
/. he rated on a mileage basis. Taxicahs
; In the Boston district must pay SOLE
: a mile, with minimum rate "A car of
. $3.50 a year Rural taxicabs will paw
: only $0.0125 a mile, or a minimum Of
. 800 a car a year
: Bus owners will he subject to the
: greatest burden under the new law.
: Russes carrying more than 20 pas
/. sengers and operating in the Boston
i. metropolitan area will have to pay
: $3.50 a year. This rate shrinks to
. $40 for the same size busses in rural
: sections and to $3.50 for busses carry
: ing six to seven passengers in the
= rural sections
= Lawn Mowers Included.
= In the elaborate schedule of rates
. even lawn mowers came in for atten-
: ton. They are in the same class as
. farm tractors and carry a rate of s.
: in the Boston area. The same rate
Nv11i in, Ii.,t,.i .i,te
!. Motor cycles We're given a rate of
= from $ll to $29. depending on the
. territory in which they operate
= The truck owners have been urging
. the adoption of so-called fleet" in
: surance. whereby a man owning and
. inslirinG 10 trucks gets lower rate
; than the owner of only one or two
= trucks. This form Of insurance, how
. ever, has been ruled unconstitutional
! by the attorney general. and will not
. be allowed under the new law.
. Rates for commercial vehicles are