Lawyers, insurers in big-bucks battle over Referendum 67

OLYMPIA — One of this year's loudest election campaigns is also one of the most expensive ballot-measure contests in state history.

New campaign-finance reports show trial lawyers and insurance companies battling over Referendum 67 have spent nearly $14.5 million, with just days remaining before the election.

If approved by voters next week, Referendum 67 would allow consumers to collect triple damages if their insurer unreasonably denies a claim or violates unfair-practice rules. It would not apply to health coverage.

Supporters say the referendum gives consumers a powerful tool to punish bad actors in the insurance industry. Opponents say it's an unnecessary magnet for unfounded lawsuits that will drive up insurance rates.

Campaign spending by both sides already has made the referendum the second-most-

expensive initiative or referendum effort in state history, trailing the nearly $16 million spent by doctors and lawyers on a 2005 medical-malpractice initiative.

Referendum 67 can claim a different record: The opposition campaign's spending, presently at more than $11 million, is the most ever spent by opponents of a ballot measure.

Insurers are the primary donors to the "no" campaign, while trial lawyers are the heaviest donors in support of the referendum.

Both sides have spent heavily on TV ads to make their case to voters.

Some recent polls have shown the referendum with an edge in public support.

"I think people relate to our message. And we're hearing from a lot of people," Approve 67 spokeswoman Sue Evans said.

Reject 67 spokeswoman Dana Childers did not immediately return messages seeking comment Wednesday, but in a recent statement she questioned Democratic state Insurance Commissioner Mike Kreidler's support of the referendum.

"If the insurance commissioner needs more authority to regulate and police insurance companies, he should go to the Legislature and ask for it," Childers said.