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2008 Policy Book
First | Previous | Next | Last | 2008 Index | Policy Book Archive#50 NO-FAULT AUTOMOBILE INSURANCE
We support the general principles in Michigan's No-Fault Insurance law that allow people injured in automobile accidents to receive economic compensation more quickly and equitably. There remain aspects of the law which restrict rights and responsibilities of the individual, increase claims costs, and ultimately the insurance premiums paid by motorists.
The following improvements to No-Fault Insurance should be adopted:
- Optional limits of Personal Injury Protection (PIP) coverage (e.g., medical, wage loss, economic damages).
- Use a set schedule for medical and PIP benefits.
- Better define "injuries arising out of the ownership, maintenance or use of an automobile."
- Mandatory coordination of benefits.
- Require motorcycles to comply with same rules as auto and truck collision and liability.
We support legislation which improves Michigan's No-Fault Insurance and reduces the cost of auto insurance.
We oppose any legislation that attempts to equalize auto insurance rates throughout Michigan. Additionally, we will not support auto insurance rollbacks unless they are offset by reforms which reduce costs.
Michigan's No-Fault Insurance law provides that drivers having accidents or tickets can be charged more for automobile insurance. To ensure that proper insurance premiums are charged, we support improved accuracy of the Secretary of State's accident/violation records.
The Michigan Auto Insurance Placement Facility, which insures high-risk drivers, should be fully self-funded.
Uninsured motorists increase costs to law-abiding citizens. We recommend increased law enforcement and an increase in fines for uninsured motorists and impoundment of the vehicle. We urge the exploration of methods and mechanisms to change the collections for the Michigan Catastrophic Claims Association Fund (MCCA) to ensure equity amongst Michigan motorists, such as including MCCA assessments with fees for license tabs.
