NewsLocal NewsMichigan


Whitmer pushes for every Michigander with auto insurance to receive refund check

Driving a Car
Posted at 11:20 AM, Nov 01, 2021
and last updated 2021-11-01 11:20:55-04

LANSING, Mich. — Gov. Gretchen Whitmer is calling on the Michigan Catastrophic Claims Association to deliver refund checks to every Michigander with auto insurance.

It would be part of the auto insurance reform signed into law back in 2019, according to a news release Monday.

“The over $5 billion surplus accumulated by the MCCA belongs to Michiganders and should be put in people’s pockets immediately with a refund check,” Whitmer said. “As we stay laser-focused on growing our economy and ushering in a new era of prosperity, we need to use every resource we have to help people thrive. A refund check to working families will help us continue to put Michiganders first and drive down costs.”

State officials say the reform bill:

  • Guarantees lower rates for drivers for eight years 
  • Gives people the choice to pick their own Personal Injury Protection options with coinciding PIP rate reductions, offering unlimited coverage, $500k coverage or a complete opt out for seniors or anyone with sufficient private insurance 
  • Increases consumer protections by banning companies from using the following non-driving factors to set rates: ZIP code, credit score, gender, marital status, occupation, educational attainment and homeownership 
  • Sets fee schedules for hospitals and providers to prevent overcharging for auto-related injuries

READ MORE: State agency says some insurers are not following intent of no-fault auto reform law

READ MORE: State reaches settlement on no-fault auto reform law

READ MORE: 'We need to act now': Lawmakers announce new bills aimed to fix issues with no-fault auto law