Drivers under 25 will no longer pay higher insurance rates in Massachusetts if the Legislature adopts a bill which was referred to committee for reconsideration yesterday.
The proposal, H. 155, made by two Revere legislators, would abolish "age or sex classifications" in determining automobile insurance rates. A surcharge of 55 per cent must now be paid on cars driven by persons under 25.
"There is no reason to discriminate against young drivers," Rarold W. Canavan said in defense of his proposal. "Other age groups have worse accidents than they do," he added.
Insurance companies do not need the extra revenue, Canavan argued, since Massachusetts has the highest rates in the nation. It is also the only state where there is compulsory car insurance.
"The bill has a good chance of passage," according to Senator Richard H. Lee of Middlesex, a member of the Committee on Insurance. Lee stated that the clerk of the committee was "Too hasty" in sending the bill to the House with a negative report.
Out of the 11 representatives on the committee, five opposed the adverse report, which was returned yesterday.
Canavan maintained that the purpose of the recommittal was to permit the committee members to reach a decision uninfluenced by "lobbying pressure."
Insurance companies, Canavan charged, have advertised in the newspapers against this bill in an attempt to "rail-road" its rejection through the House.
The measure, if enacted, would apply to young Massachusetts drivers and out-of-staters, who are required to carry automobile insurance if they remain in the state for over 30 days.