Governor Proposes End of Lifetime Catastrophic Coverage Guarantee

By: Associated Press
By: Associated Press

Gov. Rick Snyder wants to lower Michigan drivers' auto insurance bills in exchange for an end to unlimited lifetime medical coverage for people seriously injured in accidents.

The average family's premiums could drop $250 a year under the plan being unveiled Thursday by the Republican governor and GOP lawmakers.

Michigan has some of the highest auto insurance rates in the U.S. It's the only state where motorists pay $175 per car per year to a fund covering catastrophic injuries for life.

Snyder proposes capping personal injury protection at $1 million, which he says is still much higher than in every other state.

Drivers also would be charged $25 a year to help fund Medicaid because a tax on health insurance claims isn't generating as much as anticipated.


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Comments are posted from viewers like you and do not always reflect the views of this station.
  • by JIM Location: DAVIS on Apr 24, 2013 at 03:07 AM
    Let's see the MCCF books first.
  • by taxpayer Location: Michigan on Apr 21, 2013 at 07:18 PM
    You are right Anonymous. I don't trust anything that says it will reduce a fee because fees will go back up eventually.
  • by Anonymous on Apr 19, 2013 at 05:52 AM
    Terry or (TERRY) this isn't about No-Fault insurance.
  • by Heywood on Apr 18, 2013 at 07:22 PM
    Hell yes, Guv Rick! NO other State in the Union charges this bogus fee. I don't see them being overrun by cripples with huge medical bills! If anything we have MORE of that! GET RID OF THIS BOGUS STATUTORY ASSESSMENT!
  • by TERRY BAKER Location: SPRINGPORT MI on Apr 18, 2013 at 03:55 PM
    THANK YOU GOV. SNYDER FOR ADDRESSING THIS ISSUE. HE IS DOING WHAT OUR LEGISLATORS SHOULD HAVE DONE A LONG TIME AGO. I WISH PEOPLE WOULD GET BEHIND COMPLETELY ELIMINATING NO-FAULT. IF THIS TYPE OF CAR INSURANCE IS SO GOOD WHY THEN IS IT ONLY IN TWO STATES? FL AND MI
  • by Anonymous on Apr 18, 2013 at 09:33 AM
    So we get a cut on rates by cutting the amount it will pay out. But over time that rate will increase to pay on the fund. So really we will end up back where we are now with rates but have a cap on what can be paid out. HUM sounds like another slight of hand and will cost people in the future. Get less for the same or more cost for an individual.
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