Be ready to pay more for your car insurance starting next year

Arizona has some of the lowest auto insurance requirements in the nation, but come July 2020, that will change.

Here’s what you need to know about the new legislation passed by Governor Doug Ducey last week.

The minimum coverage for auto liability insurance in Arizona is currently 15-30-10.

$15,000 per occurrence for at-fault accidents, $30,000 for accidents resulting in injury or death, and $10,000 for property damage.

Those numbers will be nearly doubled to 25-50-15; $25,000 per occurrence for at-fault accidents, $50,000 for accidents resulting in injury or death, and $15,000 for property damage.

This may hit some policyholders by surprise since the current minimum coverage plan has not been changed in almost 50 years.

State Farm insurance agent, Cathy Nuetzi expressed how even though this change can be difficult for her clients it can be good, saying, ” This is ultimately going to be helpful to the policyholder because it’s now going to offer them more coverage in order to help protect and regard their assets. What I recommend is doing an annual review of your policy. ”

An annual review will help policyholders with life events, like legislative changes.

Nuetzi said this new law comes down to making sure drivers are adequately covered and protected, finding the 15-30-10 plan insufficient on several occasions.

Many factors like age, driving record, and location come into play when calculating exactly how much policyholders can expect their insurance rate to go up.

So it’s recommended that drivers schedule an annual review with their insurance company before July 1, 2020.