SANTA MONICA, Calif., May 21 /CHICAGOPRESSRELEASE.COM/ — Mercury Insurance has poured another $3.5 million into the campaign for Prop 17, the car insurance rate increase initiative on the June ballot, as it escalates its television ad buy in the final weeks of the campaign.
Mercury has now spent approximately $13,840,000 on Prop 17. The remaining $60,000 or so to the campaign appears to come almost exclusively from Mercury agents.
“Mercury thinks that all it has to do is keep throwing money into the deceptive ad campaign for Prop 17 to pass this car insurance rate hike initiative,” said Doug Heller with Stop Prop 17. “Insurance companies don’t spend millions of dollars on an initiative to save consumers money and we hope voters will see through Mercury Insurance’s phony promises and vote no on 17.”
Prop 17 would create an insurance surcharge on drivers who have had a lapse in car insurance coverage for virtually any reason during the past five years, or whose policy was cancelled after missing a single payment. Under the measure, people who stopped driving and didn’t need insurance for a time would be required to pay up to a thousand dollars more for car insurance when they sought to restart coverage. Currently, insurance companies are prohibited from imposing such a surcharge in California.
Prop 17 is opposed by California’s consumer groups, including Consumers Union, the publisher of Consumer Reports Magazine, Consumer Watchdog and Consumer Federation of California, and nearly every editorial board in the state.
Stop Prop 17 is sponsored by Campaign for Consumer Rights, a nonprofit organization. Campaign for Consumer Rights does not endorse or oppose any candidates for election.
SOURCE Campaign for Consumer Rights