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Auto insurance changes will raise rates

Last week, the Senate passed legislation to drive up the cost of auto insurance by altering the state’s 2019 no-fault reforms. I did not support this. Prior to 2019, Michigan had the highest auto insurance rates in the nation with a one-size-fits-all mandate approach to insurance. According to a report from the Department of Insurance and Financial Services, Michigan drivers saved a cumulative $5 billion on their insurance rates from 2019 to 2022. Specifically, these savings were found in “personal injury protection” or PIP coverage—this coverage was previously mandated, and individuals were not allowed to use their own existing health insurance to help cover auto-related injuries.

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