State News

Update: Senate Approves No-Fault Auto Insurance Reform Deal, Sending it to the Governor

May 24, 2019, 5:37 PM

Gov. Gretchen Whitmer: "I look forward to working with the legislature to pass and sign this." (file photo)

Update: 5:35 p.m. Friday: The Senate passed an auto insurance reform bill, sending it to the governor for her signature, the Detroit Free Press reports.

Update: 4:28 p.m. Friday: A no-fault insurance bill approved a bill Democratic Gov. Gretchen Whitmer and Republican legislative leaders sailed through the House Friday afternoon and was headed to the state Senate, the Freep writes. The bill promises to sharply reduce Michigan's highest-in-the-nation auto insurance premiums.

Original post, Friday morning:

Agreement is reached between Gov. Gretchen Whitmer and Republican lawmakers to reform the contentious no-fault auto insurance, Paul Egan of the Detroit Free Press reports.

"After constructive conversations over the past week, I am pleased to announce that we have reached an agreement in concept on bipartisan auto no-fault reform legislation that will lower costs and protect coverage for Michigan drivers," Whitmer said in a news release Friday morning.

"The deal: guarantees rate relief for every Michigan driver; provides a choice in coverage levels; establishes more uniform and structured compensation levels for medical providers; and removes the ability of insurance companies to discriminate based on non-driving factors.

"I look forward to working with the legislature to pass and sign this important legislation into law.”

The deal includes choices for Michigan motorists on what level of coverage they want, plus a fee schedule for certain medical services arising from auto accidents, the Freep reports.

One change would make personal injury protection premiums optional for many policyholders, a Crain's Detroit Business reporter tweets.

Other details hadn't surfaced as of Friday morning. 

Detroit has been particularly hurt by high auto insurance rates. 

Read more:  Detroit Free Press

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