[Congressional Record Volume 144, Number 64 (Tuesday, May 19, 1998)]
[House]
[Page H3369]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
INTRODUCTION OF AUTO CHOICE REFORM ACT
The SPEAKER pro tempore. Under the Speaker's announced policy of
January 21, 1997, the gentleman from Texas (Mr. Armey) is recognized
during morning hour debates for 2 minutes.
Mr. ARMEY. Mr. Speaker, tomorrow the Subcommittee on Finance and
Hazardous Materials of the Committee on Commerce will hold a hearing on
my bill, the Auto Choice Reform Act, which will cut auto insurance
premiums by 24 percent and save American drivers $193 billion over 5
years.
Today we are forced to pay more than is necessary for auto liability
insurance in order to be eligible to play the tort lottery, whether we
want to or not. Some people see this lottery as a way to hit the
jackpot. They exaggerate their real damages in order to sue for huge
noneconomic damage awards. This fraud and abuse, as well as the
excessive lawsuits, have helped drive up the cost of auto insurance and
have led to the undercompensation of seriously injured victims.
Auto Choice addresses these problems by giving American drivers a
choice in the kind of insurance they can buy. Under Auto Choice they
can stay in the tort system or they can opt to collect their actual
losses from their own insurance company and forego suits for economic
damages. In exchange, they will see lower premiums and better
compensation.
Americans should be free to buy the auto insurance policy that best
fits their needs. Auto Choice gives them this freedom.
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