MELVILLE, N.Y. -- AutoOne Insurance, a Limited Assignment Distribution (LAD) servicing carrier accepting assigned risks on behalf of client insurance companies, announced today that they are expanding their LAD services into other states and new markets. Assigned risks are those drivers who are unable to obtain automobile insurance in the voluntary market. AutoOne currently offers LAD services to automobile insurance companies in New York and New Jersey.
With this expansion, AutoOne plans to add a number of new state programs, including Pennsylvania, Texas, California, Connecticut, Vermont, Maine, Delaware and Washington, D.C. AutoOne will also begin accepting commercial automobile risk (CLAD) assignments on behalf of insurance carriers in the states of New York, Pennsylvania and Texas. The expansion of both the LAD and CLAD programs is subject to approval by appropriate regulatory bodies, including state insurance departments. Additional states are also under consideration for AutoOne's expanded services.
"Our clients have asked us to extend our services into other states and into additional lines of business," said Carey Benson, AutoOne's CEO and President. "We pride ourselves as having built a company that is based upon being a trusted long-term partner for our business partners. We view this expansion as a logical step toward broadening our services."
Many of these states currently have only one active provider of LAD services, making for little or no competition on quality of services or cost. By entering into these markets, AutoOne will provide an alternative for carriers to consider, which will also have a positive impact on the marketplace.
"AutoOne's success in the two largest AIP (Automobile Insurance Plan) markets, New York and New Jersey, has fundamentally changed the LAD business in those states while also delivering lower AIP cost solutions to our customers," Benson stated. "Our goal is to accomplish the same result for our growing list of clients with these new programs."
AutoOne expects to begin writing business in these new states starting in January of 2005.
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