Michigan’s Legislature has begun reviewing a number of bills that would transform the state’s auto insurance laws. State lawmakers have been attempting to confront the issue of excessive auto insurance rates and stem the tide of fraud that is inundating the streets. Amongst a sleuth of new regulations that would curb rate hikes, legislators will be hearing a bill regarding changing the state’s auto insurance into a no-fault system. The bill has already garnered a breadth of support from consumer advocacy groups. Currently, Personal Injury Protection (PIP) insurance is required…
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Michigan lawmakers poised to shut insurance loophole concerning medical marijuana
The issue of medical marijuana and how it pertains to insurance has been under debate in Michigan. Lawmakers have previously enacted legislations that freed insurers from paying for medical marijuana, but the same cannot be said for auto insurance companies. It is fairly common for those that have been injured in car accidents to seek medical marijuana as a way to medicate the pain. According to state lawmakers, no insurance coverage was ever meant to accommodate such a treatment and now legislators are looking at new laws that would bar…
Read MoreMichigan Senate bill aims to restrict auto insurance injury benefits
According to the results of a study that were recently released, there would be “potentially disastrous economic impacts” if there were to be a cap to the personal injury benefits under the state’s no-fault insurance law. The research, which was performed by the Anderson Economic Group for the Coalition Protecting Auto No-Fault, looks into the possible outcome of a bill before the Michigan Senate that had bipartisan support. This bill was sponsored by senators Virgil Smith (D-Detroit) and Joe Hune (R-Whitmore Lake) and would permit a cap as low as…
Read MoreLouisiana drivers pay second highest premiums for car insurance now behind Michigan
According to an Insure.com Quadrant Information Services study, Michigan has now taken the place held by Louisiana last year, when it had the most expensive auto insurance premiums in the country. The average rate paid by Michigan drivers for their auto insurance is $2,541, while Louisiana’s average rate is $2,453 per year. The study data was used to determine the cheapest and most expensive insurance rates among the states. Amy Danise, the senior managing editor at Insure.com stated that this is the study’s second year, and that the website has…
Read MoreMichigan: New fees being charged on car insurance
Michigan drivers will be facing assessment fees to be instituted by the Michigan Catastrophic Claims Association (MCCA) beginning this summer. These fees are meant to help insurance companies cover the cost of disastrous injuries resulting from auto accidents. The MCCA claims that the fee is necessary to offset the huge financial loss facing insurers who provide coverage for victims of accidents whose care exceeds $500,000. There has been some scrutiny in the past over the MCCA’s actions, much of which has been focused on the organizations lack of accountability and…
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