‘Limited Tort’ Option Lowers Pa. Auto Rates

According to an article in the Philadelphia Inquirer, 70 percent of the drivers in Philadelphia and nearly half of all Pennsylvanians can now lower their auto premiums by selecting the “Limited Tort” option offered by the State’s Insurance Department.

The option, as described on the Department’s Web site, states that it “Offers savings on your premiums. You are still able to recover all out-of-pocket medical and other expenses, however you are not able to recover non-monetary damages or receive payments for pain and suffering unless injuries are defined as serious.”

The Inquirer noted that the option is now part of a rate reduction plan announced by the PID on Thursday. It follows a series of complaints by the City of Philadelphia over the high cost of auto insurance for the city’s drivers, and demands that premiums be reduced.