Insurance hikes to be reversed

When Green Valley resident John Russell received his auto insurance renewal policy from AARP/The Hartford this past summer, he discovered that because the U.S. Postal Service had changed his ZIP code from 85614 to 85622, he would be faced with a whopping $280 annual increase.

Rather than taking this in stride and paying an approximate 30 percent increase, Russell took on an arduous two-month bureaucratic battle.

In addition to contacting AARP Member Services and The Hartford, he contacted the Arizona Department of Insurance and Pima County Supervisor Ray Carroll’s office.

A front-page article in the Oct. 10 edition of the Green Valley News detailed the crux of the issue — that prior to July 1, 2008, the 85622 ZIP code applied solely to Green Valley post office boxes and not to any real property. Therefore, a 30 percent increase when there was no auto accident or change of automobile was problematic.

On Thursday, Oct. 30, Russell received news of the successful resolution — and reversal — of the increase.

The reversal applies to all Green Valley residents insured by AARP/The Hartford, not only to Russell.

In a letter dated Oct. 28 from AARP/The Hartford to the Consumer Affairs Division of the State of Arizona Department of Insurance, it states, “We will be adjusting our filings with the state of Arizona to ensure that our Arizona auto policies are priced appropriately and necessary corrections are made. We will also ensure that any retroactive changes are made as needed.”

Relieved to hear that his auto renewal policy is being reduced by approximately $280 Russell said, “In addition to the Green Valley News, whose encouragement and support contributed significantly to this successful conclusion, I’d like to thank Tom Ward, Pima County Special Assistant District 4; Marci Croddy, Consumer Affairs Division Arizona Department of Insurance; Ron Burley, AARP ‘On Your Side’ columnist; Denise Henderson, manager AARP Member Relations and Michele Brantley, AARP Member Relations representative, for their guidance throughout this frustrating two-month bureaucratic experience.”

Russell said residents who have received, or may receive, a significant increase in their auto or homeowner’s insurance premium that they believe to be the result of the ZIP code change, not to remain silent.

Those affected can submit a Letter of Complaint with the insurance company’s name, policy number and the old and new premium amounts to:

Ms. Marci Croddy, Consumer Affairs Division, Department of Insurance, State of Arizona, 400 W. Congress, Suite 152, Tucson, Arizona 85701.

Croddy may also be reached at 520-628-6370 or MCroddy@azinsurance.gov.

Ellen Sussman is a freelance writer in Green Valley. Contact her at ellen2414@cox.net.