The most common topic Jackson-area residents share with me is the skyrocketing cost of car insurance and how it negatively affects them.

The people of Michigan aren’t interested in talk, they’re interest in results. I listened to everyone’s concerns and worked diligently to fix the broken system that generates the most expensive car insurance rates in the nation.

That goal was achieved just recently, when the governor signed our historic, bipartisan reform solution into law. The new law is a major victory for the more than seven million Michigan drivers who have waited decades for their state government officials to step up and finally deliver real rate relief.

As with any landmark reform, change of this magnitude raises many questions. This is why I am happily fielding questions from residents in our community who want more details on the new law and the opportunity to ask how it will affect them in the near future.

Drivers are not only anxious to know what changes are in store, but also how much savings they will see in their upcoming car insurance bills. I recently hosted a tele-town hall meeting to discuss the issue with Rep. Jason Wentworth, who chairs the House Select Committee on Reducing Car Insurance Rates, and more than 1,500 residents joined in to listen and ask questions.

For those unable to join the conversation, here is a run-through of answers to some of the most common questions we received from motorists in our community.

Starting in July 2020, Michigan’s long-standing tenure should come to an end when drivers will no longer be forced to buy unlimited personal injury protection (PIP) coverage. For the first time in decades, motorists will have the freedom to choose from multiple PIP coverage levels based on their own financial situation. Seniors with retiree health coverage such as Medicare and those with health insurance policies that cover injuries suffered in car accidents are eligible to opt out of PIP altogether. Others could continue with unlimited coverage if they want, or choose coverage options of $500,000 or $250,000. A $50,000 option will be available for those on Medicaid only.

All drivers are guaranteed lower rates on their PIP coverage no matter what option they choose:

• 100 percent reduction for drivers choosing to opt out of personal injury protection coverage
• 45 percent for drivers choosing the $50,000 coverage level
• 35 percent for drivers choosing the $250,000 coverage level
• 20 percent for drivers choosing the $500,000 coverage level
• 10 percent for drivers choosing to continue receiving unlimited coverage

The new law also puts an end to price gouging by medical providers for car accident victims. Patients will no longer be overcharged on their medical bills because a new fee schedule will be established to rein in out-of-control costs.

This solution fights abuse and fraud in the no-fault system, combating frivolous lawsuits and fraudulent claims to further drive down costs for everyone. ZIP codes, education levels, credit scores and other non-driving factors will also be banned from being used to determine drivers’ rates.

These reforms – when in effect next summer – will deliver a real, meaningful and long-lasting fix to Michigan’s car insurance system for our families, friends and neighbors. Until they are fully implemented, it’s important to note drivers will see the Michigan Catastrophic Claims Association per-vehicle assessment fee go up starting this month. This fee increase was scheduled prior to the reforms being signed into law.

Reforming car insurance has previously eluded the Legislature for decades, and I’m incredibly proud to have helped lead the way to finally delivering the results Jackson-area residents not only demanded, but deserved. Please do not hesitate to reach out to my office with any questions at (517) 373-1795 or [email protected].