In 2022 there are almost 200 insurance companies actively writing auto policies in Arizona.  Consumers may benefit from comparison shopping with the various companies.  

When considering automobile insurance purchases, consumers should bear in mind these “Consumer Awareness Points:”

• Some automobile policies contain an exclusion (commonly referred to as the “Household,” “Family,” or “Intra-Family” Exclusion), which limits bodily injury liability coverage available to family members (or residents of the household) injured as a result of the negligence of another insured. Arizona law permits insurers to impose this Exclusion limiting such coverage to $25,000 per person/$50,000 bodily injury and $15,000 property damage per occurrence (Arizona’s minimum financial responsibility limits), despite the amount of liability coverage otherwise purchased under the policy.  Typically, the exclusion states:

We do not provide Liability Coverage for any "insured" for "bodily injury" to you or any "family member" to the extent that the limits of liability for this coverage exceed the limits of liability required by the Arizona Financial Responsibility Law.

“Family member” and other keywords important to this Exclusion are commonly defined in the policy. To ensure that the policy meets their coverage expectations, consumers should ask if the offered policy contains this Exclusion, and, if so, carefully read the Exclusion, together with the entire policy, and consider the option of purchasing additional coverages to assure that family members/household residents are covered for bodily injury to the extent the consumer expects and intends.

• In determining either eligibility for coverage or price, some insurers:
  • Some states do not allow the use of credit history information in determining either eligibility for coverage or price; however Arizona does allow the use of credit history information. “Consumer Guide How Insurers Use Credit Information” is on DIFI’s website and provides answers to the most frequently asked consumer questions on how insurers use credit history to determine individual rates and coverage availability.
  • Use reports provided by organizations such as the Comprehensive Loss Underwriting Exchange (C.L.U.E.), also known as LexisNexis, as exchanges for loss history information on an insured, or a particular property. Participating member insurers exchange this prior loss history information between members, sometimes without independent verification of the validity of the information provided by other members. Consumers who believe the information on their C.L.U.E. (or similar report) is erroneous should take steps to correct it. Information on C.L.U.E. and how to correct a report may be obtained at the following website: LexisNexis Consumer Portal
• Insurers are not permitted to increase the “premium of an insured as a result of an accident not caused or significantly contributed to by the actions of the insured.” A.R.S. § 20-263(A).