American Property Casualty Insurance Association
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Nicole Mahrt-Ganley



916-616-5855 or 916-479-2670









April 21, 2014



Arizona Senate Made a Bad Decision and All Arizona Drivers Could Pay the Price

PCI says HB 2262 forces Arizona drivers to subsidize TNC’s commercial activity


PHOENIX - The Arizona Senate just said YES to a bill that could force Arizona drivers to pay higher insurance rates, said the Property Casualty Insurers Association of America (PCI).  New amendments adopted today will force personal auto insurance policies to cover commercial activity and will put Arizona drivers at risk of paying higher costs.  The new amendments to HB 2262 do NOT fix the insurance problems, in fact the amendments put the subsidization in statute permanently.  The following statement can be attributed to Kelly Campbell, PCI vice president.

“The Arizona Legislature is about to make a bad move, and consumers will pay the price.  HB 2262 is a wolf in sheep’s clothing.  All Arizona auto insurance customers should not be at risk of paying higher insurance costs because ride sharing companies don’t want their insurance policy to cover all their commercial driving behavior. 

This bill defines the commercial activity to begin when a TNC driver is matched with a passenger.  That is wrong.  The commercial activity begins when the driver turns on the app and starts looking for a fare.  TNC drivers have to be in the right place at the right time to get the fare.  They drive in high traffic and congestion under riskier conditions.  Why should all Arizona drivers pay more so a few TNC drivers in the Phoenix area can have their riskier commercial behavior subsidized?

The Arizona Legislature is about to finish their work for the year and close down.  The Arizona House of Representatives is the last stop for HB 2262 and the last opportunity to stop a bill that will change how personal auto insurance works in Arizona.  Arizonians need to know what is going on in the capitol before it hits them in their wallet.”


PCI is composed of more than 1,000 member companies, representing the broadest cross-section of insurers of any national trade association. PCI members write over $195 billion in annual premium, 39 percent of the nation’s property casualty insurance. Member companies write 46 percent of the U.S. automobile insurance market, 32 percent of the homeowners market, 37 percent of the commercial property and liability market, and 41 percent of the private workers compensation market.