“My family experienced a minor tragedy, we were able to recover from it, but personal injury protection was a key component of getting through that issue.”
That’s Michigan State Representative Rachel Hood who says the bill removes the provision of unlimited lifetime medical coverage to anyone serious injured in a car accident, and gives options for drivers to choose the kind of level of personal injury coverage they want.
“Folks on Medicaid can choose a $50,000 PIP level, others can choose $250,000, $500,000 or unlimited.”
While Hood is in favor of reducing costs for drivers, she says the bill would allow insurance companies to set rates based on “territories”.
“We have not eliminated the ability of an insurer to create territories or to use census tracks or to use any other factors that could discern one geography over another geography.”
Territories has yet to be defined in the bill but it could be as small as a census track or as large as a region like West Michigan.
The bill received overwhelming support in the House and the Senate and on Thursday Governor Gretchen Whitmer signed the bill into law and it will go into effect next summer.
Michelle Jokisch Polo, WGVU News.