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Michigan Governor Signs Overhaul To Cut High Auto Premiums

A Lansing-area freeway.
File Photo
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WKAR-News
Traffic exiting the highway in Lansing

Gov. Gretchen Whitmer has signed into law an overhaul of Michigan's car insurance system that will let drivers forego unlimited medical benefits to cover crash injuries.

The Democratic governor signed the bill Thursday at the Detroit Regional Chamber's policy conference on Mackinac Island. She was joined by lawmakers and Detroit Mayor Mike Duggan.

Whitmer says it's a "historic day" because the cost of auto insurance will go down.

Michigan has the country's highest average premiums.

Whitmer says the law — which will begin to take effect in July 2020 — will lower personal injury protection rates, give people choices and ban insurers from using discriminatory non-driving factors to set rates. She says the bipartisan deal provides momentum for other initiatives such as fixing the roads and closing a skills gap.

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