Gov. Whitmer Signs Bill to Cut Insurance Rates for Michigan Drivers

It's official, your car insurance bill is going down. Michigan Governor Gretchen Whitmer has signed bipartisan legislation that will lower auto insurance rates for Michigan motorists for the next eight years.

It's estimated that drivers could save anywhere from $120 to $2,400 per year.

“By signing this legislation, we are providing relief to millions of drivers across the state and guaranteeing a better auto insurance system for everyone,” Whitmer said. “This historic deal shows that, when we put party aside, we can find common ground on our state’s toughest issues to provide realistic and affordable coverage options for drivers across Michigan.”

The bill includes provisions for motorists to choose their own level of personal injury protection:

• Unlimited coverage (10% PIP reduction)
• $500K coverage (20% PIP reduction)
• $250K coverage (35% PIP reduction)
• $50K coverage for Medicaid eligible recipients (45% PIP reduction)
• Or the option for seniors or anyone with sufficient private insurance to opt out completely. (100% PIP reduction.)

Insurance companies will also no longer be able to use factors such as ZIP code, credit scores, gender, marital status, occupation, education attainment, and home ownership when determining insurance rates.

The bill will also set fee schedules to prevent healthcare providers from overcharging for auto-related injuries.

The press release states that the measures passed with overwhelming support.