Virginia: Commissioner Approves Commercial Auto Rate Increase

Key Takeaways:

• Virginia approved a 15.6 percent commercial auto residual market rate increase.
• Major changes include a 30 percent increase in UM coverage, a 20 percent increase in buses, and a 10 increase in taxi/limo/van liability rates.
• These changes are effective Sept. 1 for new business and Oct. 1 for renewals.

The Virginia Bureau of Insurance has issued Administrative Order 12206 approving revisions to the Virginia Automobile Insurance Plan commercial auto manual, including an overall rate level increase of 15.6 percent for coverage written through the residual market.

The approved changes include:

• A 10 percent increase in taxi, limousine, and van liability;
• A 30 percent increase in uninsured motorist coverage; and
• A 20 percent increase for buses that are otherwise not classified.

The Automobile Insurance Plans Service Office requested approval of these changes on Oct. 3, 2024. The commissioner of insurance approved this on June 23, having considered the recommendation of the staff of the BOI that the proposed filing is proper and not in conflict or inconsistent with the laws of Virginia.

The order also updates Rules 58 and 94 of the VAIP commercial auto manual to reflect the revised rates. These changes will apply to new policies effective on or after Sept. 1, 2026, and renewal policies effective on or after Oct. 1, 2026.