MACKINAC ISLAND, Mich. — Michigan's auto insurance will be changed.
Gov. Whitmer signed a bill to reform Michigan's auto insurance system to guarantee lower rates for every Michigan driver, protect insurance coverage options and strengthen consumer protections, according to a press release.
Here are some of the things this new legislation will include:
•Guaranteeing lower rates for drivers for eight years.
•Protecting people’s choice to pick their own Personal Injury Protection (PIP) options with coinciding PIP rate reductions, offering unlimited coverage (10% PIP reduction), $500K coverage (20% PIP reduction), $250K coverage (35% PIP reduction), $50K coverage for Medicaid eligible recipients (45% PIP reduction), or a complete opt out for seniors or anyone with sufficient private insurance (100% PIP reduction.)
•Increasing consumer protections by banning companies from using non-driving factors, such as ZIP code, FICO score, gender, marital status, occupation, education attainment, and home ownership, to set rates.
•Setting fee schedules for hospitals and providers to prevent overcharging for auto-related injuries.
“By signing this legislation, we are providing relief to millions of drivers across the state and guaranteeing a better auto insurance system for everyone,” Whitmer said. “This historic deal shows that, when we put party aside, we can find common ground on our state’s toughest issues to provide realistic and affordable coverage options for drivers across Michigan.”
The press release states that the the bill passed with overwhelming bipartisan support.
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