Attorneys Michael Hupy and Jason Abraham Testify Alongside ABATE of Wisconsin

On January 19, 2011, a joint hearing was scheduled to hear testimony on AB4 and SB7. These bills would repeal the existing insurance law in Wisconsin dealing with vehicle accidents and revert back to the law prior to 2009.  Changing the law back is nothing less than anti-consumer legislation and it would be devastating to seriously injured motorcyclists. The proposed legislation was a topic of concern at ABATE of Wisconsin's Officer Training seminar, four days prior to the public hearing in a Senate hearing room in Madison, Wisconsin.

Hupy and Abraham S.C. has been providing information and insight about the proposed changes and how they would negatively impact motorcyclists.  This is such an important issue and Hupy and Abraham S.C. is so deeply involved in motorcyclist's issues that both partners testified at this hearing in opposition to the bills.
Attorney Jason Abraham brought the son of one of his clients along to testify how the new insurance law helped keep his family from filing for bankruptcy.  Dan Plumb told committee members that his father was seriously injured when the driver of a Jeep Cherokee turned left in front of his cycle. Carrol Plumb had $300,000 policies on two vehicles.  The defendant driver had $250,000 of liability insurance. Under the old law that these bills would return to, Mr. Plumb would have received $300,000 in total. His underinsured coverage would have been reduced by the $250,000 from the defendant allowing him to only recoup $50,000 of his own underinsured because of the reducing clause.  Under current law, he was able to collect the $250,000 from the defendant and then collect both of his $300,000 policies by stacking and not having and reducing clause effect.     

 Attorney Jason Abraham and Dan Plumb testify at the joint hearing on insurance law.                                                              
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This was not a windfall for the client, although he was able to avoid bankruptcy and receive treatment for his injuries that Medicare would not cover. Still, Medicare has to be paid back for benefits Mr. Plumb did receive. Imagine the outcome if only $300,000 was available.  This is just one example on how the new law was able to help a victim. 

Attorney Abraham did a great job of explaining this to the committee as well as explaining how this benefits society as a whole.  Attorney Hupy explained that auto insurance minimum coverage has remained the same for years and has fell behind the rate of inflation. Wisconsin also has some of the lowest premiums in the country and by the admission of the insurance agents themselves, most claims (95%) fall within the minimum standards of coverage. That's not the case with most motorcycle accidents, as explained by ABATE of Wisconsin Legislative Chair, Dave Dwyer.  ABATE is opposed to changing the law back to minimums of $25/$50/$10. The proposed change would also disallow stacking of policies, which Dwyer pointed out were policies already paid for by the insured that could not be used.  The old law would also reinstate the reducing clause enabling insurance companies to reduce payments by what was received by the defendant driver's policy. All this is anti-consumer.

Dave "Chubby" Charlebois, Deputy Director of ABATE of Wisconsin, explained why ABATE opposed the mandatory provision in the insurance law. As an organization, ABATE is opposed to government mandates taking choice away from people. Even in mandatory insurance law states, people drive without insurance. In Wisconsin in the last six months, 16,519 citations were issued for no proof of insurance, even though it is mandatory under current law.  The proposed legislation would take away everything beneficial to consumers but would "keep" the mandatory provision. With tickets costing $500, it's easy to see why the state wants to keep the mandatory portion. More money for the state, less exposure for insurance companies and less money for the injured.  Hopefully legislators will reconsider this bad legislation.  ABATE of Wisconsin will continue to press the issue during the February 22nd Lobby Day and Attorney Michael Hupy will be there to assist ABATE as he has the past three years.

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