Jhe tar-tlcocr/eagleton POLL

Transcription

1 Jhe tar-tlcocr/eagleton POLL FOR REI.EASE: SUNDAY, MARCH 26, 1989 CONTACT: BOB CARTER RO.EASE: SL/EP 23-2 (EP 73-2) OR JANICE BALLOU RELEASE INFORMATION A story based on the survey fmdings presented in this release and background memo will appear in Sundays Star-Ledger. Other newspapers may also use this information in their Sunday editions. Electronic media may release after 5:00 p.m. Saturday, March 25. We ask users to properly attribute this copyrighted information to the Star-Ledger/Eagleton Poll. AUTO INSURANCE: PUBLIC THINKS RATES COULD BE A LOT LOWER; MOST WOULD SCRAP SYSTEM AND START OVER A large majority of New Jerseyans--nearly 3-in-4--believe auto insurance rates in the state could be a lot lower without putting insurance companies out of business. This represents a dramatic change from two years ago when only 4-in-lO felt this way. C would According to the latest Star-Ledger/Eagleton Poll, nearly 6-in-lO prefer Garden Staters scrapping the current auto insurance system and flying something different, compared to just one-third who would rather make changes within the current system to improve it. The survey, conducted by phone with 800 New Jersey adults between March 6 and 15, shows that about 6-in-b residents have heard something about the changes in auto insurance which went into effect in January. Most residents, however, do not appear in any rush to choose the major options most highly touted as a way for drivers to lower their premiums. Less than one-half of New Jerseyans say they will choose the new verbal threshold which restricts lawsuits stemming from car accidents, while less than 4-in-lO think they will choose the options for higher deductibles and less coverage in return for lower premiums. AT[ENTION RADIO STATIONS: -more Audio is available after 5:00 p.m. on Saturday, March 25, from (201) (Rutgers Feature Phone). EtLJTt1EI.S ThE STAlE UNrvtpsnv OF NEW JE?SY Eagleton Institute of Politics New Brunswick New Jersey /

2 would be willing to reduce some of their coverage or benefits in return for a significant insurance coverage in return for lower premiums. Fifty-eight percent statewide say they Most residents are not opposed to the general idea of some reductions in auto -more- tradeoffs they are now being offered aren t much of an improvement. appears to be leery of the recent changes, and it seems that many people think the many are willing to accept tradeoffs between coverage and cost. However, the public increasingly concerned and angry about the situation. They want changes made, and problem which has been growing steadily worse over the years, and the public has grown Bob Carter, Associate Director of the poll, commented, Auto insurance is a they will do with these options. while 40 percent say they will j do so. Seventeen percent are undecided about what higher deductibles and less coverage when they renew in order to lower their premiums, Thirty-eight percent of New Jerseyans say they definitely or probably will choose The public is more evenly divided when it comes to choosing higher deductibles. others to say they will choose the verbal threshold. southern part of the state, and those with higher levels of education are more likely than percent offer no firm opinion. Residents under the age of 50, those who live in the tradeoffs being offered. Specifically, 49 percent say they will choose the verbal threshold option when they renew their insurance, while 33 percent will opt for no threshold; 13 When asked whether they will choose some of the major new coverage options designed to lower premiums, many residents appear less than enthusiastic about the reduction in their insurance bills, up just slightly from In the current survey, 28 percent say they are not willing to make such a tradeoff. EP73-2 (SL/EP23-2) Page 2 (

3 The public remains convinced that auto insurance rates in New Jersey do not residents seem to feel more strongly about this than they did two years ago. An need to be as high as they are in order for insurance companies to stay in business, and Copyright: March 26, 1989, The Eagleton Institute and Newark Star-Ledger drivers in the state. New Jersey Department of Insurance, the JUA services approximately one-half of all provider other than the JUk and 15 percent say they don t know. According to the JUA, while two-thirds of the public believes they get their auto insurance from a controversy and debate. In the survey, only 19 percent say their insurance is through the insurance through the Joint Underwriting Association, which is at the center of so much A large number of residents do not appear to know that they get theft auto percent would keep the system as it is, and the remainder offer no opinion. in-3 thinks the best approach is to make changes within the current system. Only three would prefer to get rid of the current system and try something different, while only 1- system. Six-in-ten residents statewide say to improve auto insurance in New Jersey they not surprising to find a majority sentiment in favor of doing away with the current which offer lower premiums only in return for reductions hi coverage or benefits, it is With mounting public discontent over rising auto insurance rates, and reforms only 42 percent felt rates could be a lot lower and 44 percent said only somewhat lower. 21 percent say they could be somewhat lower. In a 1987 Star-Ledger/Eagleton survey, overwhelming majority of 73 percent believe rates could be a lot lower while another EP73-2 (SL/EP23-2) Page 3

4 any study of public opinion. The questions and figures referred to in this release are as follows: from that population. Sampling error does not take into account other possible sources of error inherent in probable difference in results between interviewing everyone in a population versus a scientific sample taken The latest Star-Ledger/Eagleton Poll was conducted between March 6 and 15, 1989, when a random sample BACKGROUND MEMO RELEASE SL/EP EV 73-2). SUNDAY. MARCH of New Jerseyans, (18 years and older) was interviewed by telephone. Figures presented for the total sample of 800 have a sampling error of 35 percent at a 95 percent confidence interval. Sampling error is the RUTGERS Eagleton Institute of Politics New Brunswick New Jersey t/ New Suburb --City & Old Suburb 100 (184) 101 (419) 100 (110) --Center City (87) floe of Place Respondent Lives I Over $50,000 --$20,000-$30,000 --$30,000-$50,000 --Under $20, (227) (234) 101 (105) 99 (149) Jncome or over Aee 1989 June, (800) March, % 21% 2% 3% 99% (800) or only somewhat lower?) stay in business, or do you think rates could be lower? (IF LOWER, ASK: Do you think they could be a lot lower Do you think auto insurance rates in New Jersey have to be as high as they are in order for insurance companies to * Not asked of respondents with no registered vehicles THE STATE UNRSUV Cs NE JERW? --Rural (155) 100 (358) 100 (271) Lower Lower Be High Don t Know Total jn) A Lot Somewhat Have To Depends! --Female (382) Gender --Male (378) (250) (149) (346) 4g March, % 15% (760) 19% 100% JUA Other Don t Know IQ An) Do you have auto insurance through the Joint Underwriting Association, or from some other insurance provider? * March, % 28% 37% 16% 7% 5% 100% (800) i{n QM ] Three fjjj Five or Mote fljg How many motor vehicles are registered to people in your household? ([he ê(ar-icbgcr/eagleton POLL C C)

5 March, % 28% 9% 5% 100% (800) No Don t Know Applicable IQ11..Ln). Depends/ Not in your car insurance bill? Would you be willing to reduce some of your auto insurance coverage or benefits if it meant a significant reduction --$20,000-$30, (105) --$30,000-$50, (234) --Over$50, (227) Income --UnderS2O, (149) --Female (406) Male (394) Gender --Soorover (271) (135) (358) 4g March, % 20% 22% 36% 2% 100% (800) A Lot Some A Little Not Heard Don t Know Total Yes- Yes- Yes- No- changes in auto insurance? (IF YES, PROBE: How much..a lot, some, or just a little?) different coverage options that can lower their insurance premiums. Have you heard or read anything about these In January, some changes in auto insurance laws went into effect. These changes allow car owners to choose --Female (406) --Male (394) Gender (155) (358) --50orover (271) Ape 1980 June, (800) JuIy, (800) EP73-2 (SL/EP23-2) - 2 -

6 Verbal No Depends Depends Not Don t Threshold Threshold On Cost Other Applicable Know Which of these two options do you think you will choose when you renew your car insurance? you could file a lawsuit for pain and suffering. If you choose the no threshold option, your premium would be higher, but there would be no restrictions on when a lawsuit for pain and suffering only in cases involving a serious or permanent injury or death. If you choose the new option called a verbal threshold, your insurance premium would be lower, but you could file (155) --OveróS (92) (358) (179) March, % 33% 59% 0% 5% 100% (800) System As Is Current System System Other Know Make Try Keep Current Changes Within Different Don t three statements come closest to your view? First, keep the current system as it is, or second, make changes within There have been a number of suggestions to improve New Jerseys auto insurance system. Which of the following the current system, or third, get rid of the current system and try something different. --SOorover (271) (155) (358) dsg March, % 19% 16% 24% 4% 3% 6% 10% 101% (800) Will Will Will Not Will Not Ott Cost Other Applicable Know Total.Ini. Definitely Probably Probably DefiniLely Depends Depends Not Don t deductibles and reduced coverage options? (Would you say you definitely or just probably will/will not)? lower premiums. When you renew your car insurance, do you think you will or will ii! choose these higher The other changes in the insurance laws allow drivers to choose higher deductibles and less coverage in return for.north (406) Region of State --High school graduate (250) --Less than high school (87) Education --Central (194) --More than high school (463) --South (200) --S0orover 44) (271) (155) (358) March, % 33% 2% 2% 5% 9% 100% (800) EP73-2 (SL/EP23-2) - 3 -