The Michigan House today approved a landmark plan to fix our state’s much-maligned car insurance system and reduce rates for all Michigan drivers, state Rep. Sue Allor announced.
Allor voted in favor of the plan to offer drivers personal injury coverage options, rein in medical costs and fight fraud – features designed to end Michigan’s long-standing tenure as the state with the costliest car insurance rates in the nation.
“Nobody should have to decide between putting food on the table and paying their auto insurance bill,” Allor, of Wolverine, said after the vote. “Today’s plan delivers real reform that will make car insurance more affordable for Michigan families. For too long, the skyrocketing costs of auto insurance unfairly targeted families on fixed incomes. The reform protects the most vulnerable among us by retaining top-tier medical coverage, while also eliminating the ‘double tax’ on seniors who, under the old system, were forced to pay for medical coverage twice: once through Medicare and again through their auto insurance.”
Michigan’s costs are high largely because it’s the only state mandating unlimited lifetime health care coverage through car insurance. The plan allows those currently using the coverage to keep it, and those who want it to continue buying it – while providing more affordable options.
- Guarantees lower rates for all Michigan drivers
- Gives drivers a choice on health coverage options
- Stops price gouging on medical services for car accident victims
- Combats fraudulent claims to help lower costs
The sweeping legislation now advances to the Senate for consideration.