Vermont legislator Damon Barkley, a Democrat, has proposed the Vermont Auto Insurance Fairness Act. This legislation aims to ensure that residents of Vermont receive the full auto insurance coverage they pay for and seeks to prevent insurance companies from reducing or reclaiming benefits after an accident. Currently, many Vermont residents do not receive the complete amount of underinsured motorist coverage they have purchased. Insurance companies often reduce these benefits by subtracting the amount that the at-fault driver’s insurer pays. This practice can leave injured individuals under-compensated, even if they have opted for higher coverage levels. Barkley emphasized the importance of this issue, stating, “If you pay for $100,000 of underinsured coverage, you should actually get $100,000 and not whatever is left after the other driver’s insurance pays out." In addition to addressing underinsured motorist coverage, the proposed legislation also targets the current practice where insurers can demand reimbursement for medical payments made after a crash. Often, these reimbursements are taken from a victim’s settlement, which can further complicate the financial recovery process for those affected by accidents. Barkley noted, “If your insurer pays your medical bills, they shouldn’t turn around and take money from your settlement to pay themselves back." Barkley hopes that the Vermont Auto Insurance Fairness Act will receive consideration from the unicameral state legislature. He described the legislation as a consumer fairness bill, asserting that “Vermont residents should get the coverage they pay for, without hidden reductions or clawbacks." The introduction of this bill comes amid ongoing discussions about consumer protection and insurance practices in Vermont. Barkley’s proposal aims to enhance transparency and fairness in the auto insurance industry, ensuring that residents are adequately compensated for their coverage.