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Rep. Lower: House completes landmark no-fault car insurance reforms
RELEASE|May 24, 2019

With deal in place, plan heads to governor’s desk

State Rep. Jim Lower, of Greenville, today cast a pivotal vote in favor of a proposal that brings savings to drivers in Gratiot and Montcalm counties through lower car insurance prices.

The plan, which needed additional legislative approval after an initial House vote earlier in the month, guarantees lower rates for drivers in Michigan who are saddled with the highest average car insurance premium in the country. Senate Bill 1 mends the state’s broken no-fault system by offering personal injury coverage options, combating fraud and abuse and addressing medical costs.

“When we’ve gotten to a point where Michigan families are having to decide on driving legally with insurance or putting their hard-earned money toward other financial responsibilities like groceries or day care for their children, we’ve reached a breaking point,” Lower said. “We were asked to bring rate relief to Michigan drivers and I’m proud that the Legislature has taken the lead through this process to deliver that relief.”

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 in the future to continue buying it – all while providing more affordable options. For the first time in Michigan’s history, drivers will be able to have a choice in their level of PIP coverage.

SB 1 was agreed upon by the Legislature and the governor before final approval from the House. It will be reviewed by the governor and is expected to be signed.

Michigan House Republicans
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