LANSING, Mich. — Governor Gretchen Whitmer released a statement Friday morning that “After constructive conversations over the past week, I am pleased to announce that we have reached an agreement in concept on bipartisan auto no-fault reform legislation that will lower costs and protect coverage for Michigan drivers. The deal: guarantees rate relief for every Michigan driver; provides a choice in coverage levels; establishes more uniform and structured compensation levels for medical providers; and removes the ability of insurance companies to discriminate based on non-driving factors. I look forward to working with the legislature to pass and sign this important legislation into law.”
Speaker of the House Lee Chatfield and Senate Majority Leader Mike Shirkey shared that:
“The people we serve are demanding action. For far too long, drivers from Macomb to Menominee and from Kalamazoo to the Keweenaw have been absolutely fed up with paying the nation’s highest car insurance rates. They have been waiting decades for state government leaders to step up and deliver results. Today, that wait is over.
“After very productive negotiations with our governor over the past week, we now have an agreement on a bipartisan plan that will be signed into law. Today’s vote will be a significant victory for the hard-working people of Michigan that will finally fix our broken car insurance system and deliver real, meaningful rate relief for families, seniors and household budgets all over the state.”
<u>Here are some of the details from the agreement:</u>
Rates will no be based on any of the following:
Gender, marital status, where you li(zip code), credit score, if you own a home, your level of education, or your job.
Second, depending on what level of health insurance you choose, there will be rate cuts for medical care.
Unlimited coverage = 10% cut
$500,000 = 20%
$250,000 = 35%
$50,000 = 45%
Senior citizens can opt out based on private health insurance.
In a nutshell, rate relief is promised for all drivers, along with giving a drivers a choice in coverage levels.
It establishes compensation levels for medical providers and takes away the ability of insurance companies to discriminate based on non-driving factors.
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