According to a study done by The Heartland Institute the Vermont Insurance Market has more choices and less regulation than any other state. Most insurance regulations are controlled at the state level with some broad Federal Regulations in place. Therefore there can be a vast difference in controls and regulations from state to state. This can affect the type of insurance products that companies can offer their clients.
The study published June 26th focused on the free market ability of the consumer and the companies insuring them across the country. It specifically examined how free consumers are to choose the property and casualty insurance products they want, and how free insurers are to provide the property and casualty insurance products consumers say they want. They also looked at the right of insurance companies to choose their own underwriting guidelines for Vermont auto insurance and other products and to set competitive policy pricing driven by the free market of that state.
Heartland is known for their mission to discover, develop, and promote free-market solutions to social and economic problems. Such solutions include parental choice in education, choice and personal responsibility in health care, market-based approaches to environmental protection, privatization of public services, and deregulation in areas where property rights and markets do a better job than government bureaucracies.
Top and Bottom Ten States for Property and Casualty Insurance Regulation
Top Ten Grade Score
Vermont A+ 24
Ohio A+ 22
Illinois A 15
Maine A 13
Wisconsin B+ 10
Arizona B+ 8
N. Dakota B+ 8
Utah B+ 8
Idaho B+ 7
S. Carolina B+ 7
Bottom Ten Grade Score
Colorado D+ -14
Tennessee D -14
Alaska D -15
Michigan D- -16
New York D- -17
Massachusetts D- -18
Hawaii F -22
Texas F -25
California F -28
Florida F -35
You can read the full article at Heartland.org