Michigan drivers can impact auto insurance reform

NILES, Mich. – Michigan drivers pay the highest car insurance rates in the country.

The 100th Michigan Legislature is trying to change that.

The House Select Committee on Reducing Car Insurance Rates was specifically created to make reforms to Michigan’s no-fault system, and they want your story and ideas.

The new website, www.ReduceMiRatesNow.com, is an easy way for Michigan drivers to give input that could mold future legislation and stay informed with the committee’s developments.

Michiganders pay twice the national average when it comes to auto insurance.

Michigan’s average full-coverage premium cost is over $2,000 per year, and more than 20 percent of the state’s motorists drive uninsured.

Drivers’ ideas about legislation submitted through the website will go straight to the committee, and representatives say all submissions will be considered. 

“Our insurance rates are extremely outrageous,” said Michigan resident Kristan Koshar, who was on her way to work. She says she doesn’t know how the committee will bring about reform, but she’s happy to hear it. 

“I pay $180 every month for two vehicles, and one of those is PLPD. And, actually it went up another five dollars this year. It’s no fault, and that doesn’t even make sense because if you get in a car accident, they can still come for your deductible,” said Koshar.

Representative Brad Paquette says that Michigan’s no-fault car insurance system can be a “budget buster” for people living in Southwest Michigan.  When rates can significantly drop a few miles south in Indiana, Paquette says there is an attraction for residents in Berrien and Cass County to move across the state line.

 “I was a former high school teacher, so a lot of my young people that have just graduated, they’re looking for jobs, they’re going to college. It’s really really tempting to move to Indiana, based on that alone where they can pay a fraction of the cost,” said Paquette.

You can also visit the Facebook page www.facebook.com/ReduceMiRatesNow/ to stay informed.

“Auto insurance reform is a huge priority for the hundredth legislature, and I have a real good feeling that we can have reform happen this time around,” he said.