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Wed May 21, 2014
Court: Records of car insurance fund not public
LANSING – The public has no right to see the records of an insurance fund that puts a fee on cars to pay for catastrophic injuries. That’s the opinion of the Michigan appeals court.
The Appeals Court said today that the Michigan Catastrophic Claims Association is not covered by a public records law.
It overturned a 2012 decision by an Ingham County judge.
The insurance fund was created by the Legislature to reimburse insurance companies for claims that exceed $500,000.
Michigan's no-fault insurance law provides unlimited lifetime coverage for medical expenses tied to auto wrecks.
Motorists pay $186 per vehicle each year into the fund on top of their regular insurance. The rate can change each year.
A coalition of health care, labor and consumer organizations wants detailed information on how the fund calculates its rates. They disagree with the auto insurance industry claims that the fund is unsustainable.
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