Latest additions to the MA auto marketplace bring total number of auto insurers doing business in the Commonwealth to 34
This week, the Division of Insurance announced that it had approved the entrance of Privileged Underwriters Reciprocal Exchange (PURE) and Esurance automobile insurance into the Massachusetts automobile insurance marketplace. PURE began writing automobile insurance on May 4th with Esurance beginning on July 19th.
“The announcement of two new entrants to the Commonwealth’s automobile insurance market confirms that our drivers are enjoying even more choices and opportunities,” said Insurance Commissioner Joseph G. Murphy. “We welcome PURE and Esurance, and encourage consumers to consider these and the many other established insurers as they shop for insurance that fits their family’s needs and their household budget.”
The Division of Insurance says that the latest additions to the Mass. auto insurance marketplace continue to show that Managed Competition is working and that since its implementation in 2008, 15 new insurers have entered the market. The reasoning behind this growth is that Managed Competition, which replaced the old “fixed and established system of insurance rate setting” allows auto insurers “…to develop their own rating plans and offer an array of product benefits and discounts, including rewards for consumers who have incident-free driving records.”
While the DOI announcement did not mention it, it is also noteworthy to point out that at the end of June, SafeCo insurance also announced that it would be selling personal lines insurance in the Commonwealth and looking to appoint new agents.
