Michigan’s auto insurance reform efforts could be leading to refund checks for many state residents who pay for auto insurance.
On November 1st, Governor Gretchen Whitmer wrote a letter to the Michigan Catastrophic Claims Association asking for a $5 billion surplus to be refunded to the customers. Bipartisan cost-saving legislation is the reason for the surplus.
In the letter, Whitmer said, “Billions in surplus funds should not be held by insurers to invest for their own profit or be conditioned on the renewal of a policy. The surplus belongs to Michigan policyholders and should promptly be returned directly to them in full, in the form of refund checks.”
While auto insurance reform saves money for most consumers, those with auto accident injuries are voicing concern. The Michigan Brain Injury Provider Council reports on their #MICare Crisis Dashboard that 18,000 patients rely on the Michigan Catastrophic Claims Association for coverage of expenses from lifelong injuries related to auto accidents. The coverage can now be capped with the new laws.
Reporting for WGRT – Jennie McClelland
