Hooper says it's much like the mobile industry when consumers could not move their phone number to a different carrier to take advantage of a better price, now that it's allowed, she says rates are more competitive there. "This is not about discounts, this is about surcharge," said Richard Holober from the Consumer Federation of California.
Consumer Federation of California says the proposal isn't good for people who have been uninsured for a time, even if because they gave up their car. The cost of getting reinsured will jump.