LANSING – Today, the Michigan state Senate rushed through a proposal to make sweeping changes to the state’s auto insurance system. The proposal, Senate Bill 1, would create a tiered auto insurance benefit system and eliminate catastrophic care coverage, but would not require insurance companies to guarantee lower rates for drivers. Michigan’s auto insurance industry is one of the least regulated in the U.S. and Michigan drivers pay nearly two times more than drivers anywhere else in the nation, according to a University of Michigan study. In response to the passage of SB 1, state Rep. Donna Lasinski (D-Scio Township), Democratic Vice-Chair of the Select Committee on Car Insurance Rates, issued the following statement:
“Michiganders can be proud of the bipartisan work that the House has done over the last fifteen weeks to ensure we brought together stakeholders from all parts of the state to find real solutions to unaffordable auto insurance rates. Reducing auto insurance rates is my top priority. I look forward to continuing to work in a bipartisan way in the House toward a real solution that actually demonstrates real and long-term rate relief without sacrificing quality care for injured Michiganders.”
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