Michigan drivers should be seeing another reduction in insurance costs. The Michigan Catastrophic Claims Association has announced a reduction in its annual assessment charged on auto insurance policies. The savings are estimated to be around 14% per vehicle.
Giving credit to a bipartisan effort that she signed into law in 2019, Governor Gretchen Whitmer said, “It is clear that the new auto insurance law is putting more money in the pockets of Michiganders. The reduction in the MCCA annual assessment is another example of how the reform is helping to reduce costs and provide savings for Michigan families. In these difficult times, it is more important than ever that Michiganders see rate relief. I’m pleased that these reforms are continuing to result in greater savings than required in the law.”
Michigan drivers no longer need to purchase separate Personal Injury Protection medical coverage. The removal of that requirement reduces the assessment to $86 per vehicle, taking effect on July 1, 2021. The assessment dropped $100 last July from the original $220.
Reporting for WGRT – Jennie McClelland
