LANSING, MI (WTVB) – The Michigan Catastrophic Claims Association is dropping the assessment charged per vehicle from $220 to $100 next year which will decrease car insurance payments for Michigan drivers.
Stine: Republican State Senator Aric Nesbitt says only drivers keeping the current unlimited medical benefit coverage in their auto policy will have to pay that fee.
The new assessment will begin in July 2020. The rate is the lowest amount since 2003.
Drivers who choose lower coverage limits under Michigan’s revised no-fault insurance law will avoid the fee altogether.
58th District State Representative Eric Leutheuser says the changes will “save all drivers money, including counties like ours on the state border. One of the key areas of reform is the expansion of options on the amount of personal injury protection coverage we will be able to choose in our car insurance policies. This alone will save drivers money, and other aspects of the reforms will enhance those savings as the new law takes hold.”
It’s not clear exactly how much overall insurance rates will drop.
