Revised Auto Insurance Laws in Virginia

Recently, the Virginia Assembly passed laws effecting Auto Insurance Policies issued to Virginia Drivers.

The state of Virginia is now requiring changes to underinsured motorist coverage and has revised the applicable statute, VA Code section 38.2-2206. Changes will start for all new and renewal policies on July 1, 2023. Through this amendment, damages caused by an accident with an underinsured motor vehicle will now be paid in addition to any bodily injury or property damage liability coverage available for payment. 
 
A named insured may decline this change in coverage and select Underinsured Motorist Coverage (Alternative Coverage). Under the Alternative Coverage, damages caused by an accident with an underinsured motorist may be reduced by bodily injury or property damage liability coverage available for payment. If you choose to decline the change in coverage and instead elect the Alternative Coverage, a named insured must sign the Virginia Underinsured Motorist Coverage (Alternative Coverage) Election Form. This change is effective with new and renewal policies effective on or after 7/1/2023 for both Personal Lines and Commercial Lines.
 
Please feel free to reach out to us with any of your questions. This broadening of coverage will automatically be incorporated into your renewal policies. If you choose to decline this coverage, we will need your signature on the declination form. Thank you for your business.