There are two major changes in the way automobile insurance is sold in Mass. beginning on April 1, 2008.

• The first change is that all companies are allowed to set their own rates for auto insurance. Prior to this the state set all rates.
• The second change is the establishment of MAIP (Mass Auto Insurance Plan) which insures those drivers who can't find coverage in the voluntary insurance system.

The first change will incorporate many new rating criteria for each client resulting in a more individualized rate than before. The current rate changes could result in up to 18% savings off the 2007 rates (taking into account a number of qualifying rating criteria) for our agency.

 The second change will take high risk drivers and place them with various servicing insurers in MAIP. At this point in time the producer will continue to service the client, unless the client is accepted into a voluntary program. The Division of Insurance has not ruled to date what will happen at that time.