no fault auto insurance

In this morning’s news: Democratic insurance reform, tax increase in Flint, state officer salaries

Michigan Radio Newsroom — Tue, 21 May 2013 11:20:01 +0000

Detroit Democrats propose auto insurance reform

Democratic state lawmakers from Detroit are proposing their own strategy to overhaul auto insurance in Michigan.

“The Democrats oppose Governor Snyder’s plan to cap insurance payouts for catastrophic injuries sustained in car accidents...Detroit caucus members say they’ll propose other measures, like requiring insurance companies to justify rate increases,” Michigan Radio’s Sarah Cwiek reports.

Flint’s EM recommends income tax increase

Flint’s emergency manager says his budget plan for the next year is balanced, but he warns that without new tax revenue sources, the city will again fall into debt.

“[Emergency Manager Ed] Kurtz says the loss of grant funding and declining property tax revenues will leave the city millions of dollars in the hole each year through 2018. Kurtz says Flint needs to raise its city income tax rate. Otherwise, Kurtz says Flint will face another round of budget cuts, including to police and fire,” according to Michigan Radio’s Steve Carmody.

Salaries for state officials expected to stay the same

“A state salary commission is expected to recommend no salary hikes for the governor or legislators. Governor Rick Snyder and legislative leaders sent word they’re not seeking bigger paychecks. There could be a battle over judges’ salaries, though, when the State Officers Compensation Commission meets today. Some judges have asked for a bump after a 10-year salary freeze,” Rick Pluta reports.

Detroit state lawmakers suggest alternative auto insurance changes

Sarah Cwiek — Mon, 20 May 2013 22:34:10 +0000

State lawmakers from Detroit say they will put forth their own package of bills to overhaul m auto insurance in Michigan.

The Democrats oppose Governor Snyder’s plan to cap insurance payouts for catastrophic car accident injuries at $1 million.

Snyder and some Republicans say Michigan’s unique “no-fault insurance” policy bumps up Michiganders’ auto insurance premiums. They say their proposal will bring those rates down by $125 per vehicle for at least one year, with possible future savings.

Could changes to auto Personal Injury Protection cost more than they save?

Lester Graham — Mon, 13 May 2013 11:00:00 +0000

Some members of the legislature are once again proposing changes to no-fault auto insurance in Michigan. They say it will save auto owners money. Opponents say the plan is good for insurance companies, but not for accident victims.

Everybody seems to agree auto insurance in Michigan costs too much.

Governor Rick Snyder and the chairs of the Senate and House insurance committees explained the latest plan to reduce the cost.

“In this legislation it would specify that premium costs would come down by $125 per vehicle in the first year and then hopefully because of competition and other things could even see that increase in later years,” Governor Snyder said.

That one-year guarantee of savings would come because of a reduction in the Personal Injury Protection part of auto insurance.

Oakland Co. executive compares House speaker to Hitler

Rick Pluta — Fri, 03 May 2013 20:26:39 +0000

One of Michigan’s most well-known Republicans has some harsh words for the state House GOP leader.

Oakland County Executive L. Brooks Patterson appeared today on the Michigan Public Television show “Off the Record.” Patterson said state House Speaker Jase Bolger has abused his power, and compared him to the leader of Nazi Germany.

State House panel set to move forward no-fault overhaul

Jake Neher — Fri, 03 May 2013 14:19:45 +0000

A proposed overhaul of Michigan’s no-fault auto insurance system has cleared its first legislative hurdle. A state House panel passed the bill on a party-line vote, with Democrats all voting "no."

Right now, people who are severely injured in an auto accident can get unlimited lifetime medical benefits.

The legislation would cap those benefits at a million dollars.

Many people who testified against the bill said people who are already injured would lose benefits they were promised.

In this morning's news: Auto insurance, wolf hunting, insurance for live-in partners

Emily Fox — Fri, 03 May 2013 11:01:39 +0000

No-fault overhaul moves forward

"A state House panel has voted on a bill to overhaul Michigan’s auto no-fault system. Right now, people who are severely injured in an auto accident can get unlimited lifetime medical benefits. The legislation would cap those benefits at $1 million," Jake Neher reports.

House adopts wolf hunting bill

"The state House has approved a measure that would allow an Upper Peninsula wolf hunt to go ahead regardless of a referendum on the question," Rick Pluta reports.

Health insurance for live-in partners stays

"A decision to provide health insurance to same-sex domestic partners of Michigan state government employees is intact. In an order released Thursday, the state Supreme Court unanimously declined to hear an appeal filed by Republican Attorney General Bill Schuette. The state health insurance plan covers non-family members who've lived continuously with state workers for at least a year," the Associated Press reports.

L. Brooks Patterson speaks out against changing Michigan's no-fault auto insurance

Jennifer White and Mercedes Mejia — Tue, 30 Apr 2013 21:39:20 +0000

A proposed reform to Michigan’s no-fault auto insurance is circulating in the Legislature.

Among other things, it would cap benefits for people who suffer severe injuries in auto accidents at $1 million.

Oakland County Executive L. Brooks Patterson has come out as a strong opponent to this legislation.

Patterson is still recovering from a serious auto accident he had last summer, and his driver, James Cram of Owosso, was paralyzed from the neck down.

In this interview with Jennifer White, Patterson talks about his opposition to the proposed legislation and his recovery.

You can listen to the full interview above.

Patterson wanted to be clear that he and his driver were working at the time of their accident.

Their medical bills are covered by worker's compensation, so Patterson says his opposition to changes to Michigan's no-fault insurance laws are not for his own benefit.

"Did the accident make me more aware and more sensitized to the plight of people who suffer from catastrophic injuries? Absolutely," he said.

Lawmakers introduce controversial no-fault changes

Jake Neher — Wed, 24 Apr 2013 17:33:23 +0000

State lawmakers will start debating controversial changes to Michigan’s no-fault auto insurance system this week. State House Insurance Committee Chair Pete Lund introduced the legislation on Tuesday.

He says he expects to hold several committee hearings on the issue to give lawmakers time to understand and discuss it.

“I don’t know if in their time in Lansing they’re ever going to have an issue that’s quite as complicated as this. And there’s so many different pieces involved that it’s really going to take time for people to sit down, look it over, and figure it out.”

Commentary: What price reform?

Jack Lessenberry — Wed, 24 Apr 2013 12:51:46 +0000

Last week, Governor Snyder announced plans to drastically limit benefits for those terribly injured in catastrophic auto accidents. And, as expected, legislation to do that was introduced yesterday.

Acting on behalf of the governor, State Representative Pete Lund of Shelby Township introduced two bills that would radically change how much care the badly maimed can get.

Currently, those benefits are administered and paid by an agency called the Michigan Catastrophic Claims Association, usually called MCCA. That would be scrapped in favor of a new Michigan Catastrophic Care Corporation, which would cap medical coverage at $1 million. Once a severely injured person’s care hit that limit, they would be out of luck.

In this morning's news: welfare drug tests, student achievement lags, ending lifetime coverage

Michigan Radio Newsroom — Thu, 18 Apr 2013 11:49:13 +0000

Drug tests for welfare recipients

A bill which would require drug tests for welfare recipients has moved forward in the Michigan legislature.

"A state House panel yesterday sent the legislation to the full chamber. Under the bill, the state would have to have reasonable suspicion before requiring a test. Cash assistance benefits could be terminated for people who test positive," Jake Neher reports.

Student performance in Michigan falls behind

"A new report from The Education Trust – Midwest says Michigan improved some aspects of student performance, but most other states improved even more between 2003 to 2011. The report says one reason Michigan fell behind is that the state’s strategy for improvement relied primarily on the expansion of charter and virtual schools," Michigan Radio's Dustin Dwyer reports.

Ending unlimited coverage for auto accidents

Governor Rick Snyder and GOP lawmakers are unveiling a proposal today to end unlimited lifetime coverage for medical expenses tied to auto accidents.

"The insurance lobby and other critics say Michigan's unique requirement for unlimited medical coverage is too expensive. Hospitals and others say it should stay intact," according to the Associated Press.

What's behind the high costs of Michigan auto insurance rates?

Stateside Staff — Tue, 12 Mar 2013 20:44:07 +0000

Depending on where you live in the state, your auto insurance rates could be outrageously high.

During the last session of the Michigan Legislature, there was an attempt to change the state’s auto no-fault insurance with claims that it would lower rates.

This is something the auto insurance agencies keep lobbying for, and Governor Rick Snyder said in his State of the State address we need to keep costs down.

But there’s little evidence that your insurance rates would go down that much, or at all, by these limits.

That’s because the real reason auto insurance is so high in some areas is theft, fraud, and uninsured motorists.

The part of no-fault that guarantees someone severely hurt will get the reasonable care they need is just a fraction of the cost, and some would argue the best bargain in the nation.

Joining me now is a lawyer who, we should point out, fights the insurance companies over claims on a regular basis.

Steven Gursten is with the law firm Michigan Auto Law.

Most of us find auto insurance coverage a little confusing at best, so we started off by explaining what catastrophic coverage is, and what the Michigan Catastrophic Claims Association is.

Listen to the full interview above.

Body that manages state’s catastrophic claims fund fighting against court ruling

Jake Neher — Wed, 23 Jan 2013 17:26:25 +0000

Lawmakers are getting ready to consider changes to the state’s no-fault auto insurance law.

At the same time a court battle over a fund that reimburses auto insurance companies for large claims continues.

When you file a personal injury claim in Michigan of more than a half-million dollars, your auto insurance company gets reimbursed by a state-created fund. It’s basically an insurance policy for insurers.

The fund that pays those reimbursements is facing a lawsuit that says it should provide more information about how it comes up with an annual fee that ultimately gets passed on to drivers. It’s appealing a circuit court decision saying that information is subject to public information requests.

Pete Kuhnmuench is with the Insurance Institute of Michigan, which supports the appeal.

“Literally 90 percent of what was required to be disclosed under the judge’s recent ruling is already out there for public consumption,” Kuhnmuench said.

Plaintiffs in the case say lawmakers need a complete picture as they weigh proposals to change the state’s no-fault law.

Michigan Supreme Court opens session with no-fault, medical marijuana cases

Rick Pluta — Mon, 08 Oct 2012 16:21:00 +0000

The Michigan Supreme Court formally opens its 2012 session this week.

Its first cases deal with no-fault insurance benefits, Michigan’s open meetings law, and medical marijuana.

The first arguments of the court’s session will be on the case of a woman who wants her auto no-fault coverage to pay for her treatments for depression and post-traumatic stress disorder.

She was diagnosed after witnessing her son’s death in a motorcycle accident. She was following him in her car when he was struck by another vehicle.

Michigan House could vote on no-fault auto insurance changes this week

Laura Weber — Mon, 24 Oct 2011 13:45:09 +0000

A proposal to drastically alter the state’s auto no-fault insurance law could come up for a vote as soon as this week in the state House. The House proposal includes a $50,000 appropriation that protects the measure from a voter-led ballot initiative to overturn the law via a referendum.

Democratic state Senator Bert Johnson says using referendum-proof language to shield controversial measures from being overturned by voters is a dangerous political game.

“We think that that limits voter protection as well. People should always be able to come and petition their government for what they believed the right thing is. And that’s the foundation of democracy in America, that’s what we’re built on," Johnson says.

If the proposed changes to the no-fault insurance law are approved as currently written, it would be the fourth time this year the Republican-led Legislature passed referendum-proof bills that were not part of the state budget.