Lansing, MI (WLNS) On Wednesday, the Department of Insurance and Financial Services launched new educational resources, to help drivers navigate the auto insurance policy changes that start in July.
Last year, Governor Gretchen Whitmer signed a bill into law giving people the option to lower their rates by choosing their personal injury protection, or PIP, level coverage.
PIP medical coverage pays for medical care if policyholders are in an auto accident. Right now, all Michiganders are required to have unlimited coverage, but that will change with the new law.
Under the new law, each insurance company will be required to reduce statewide average PIP medical premiums for eight years. According to DIFS a fee schedule will control the costs that a medical provider may charge auto insurers.
The DIFS is also prohibiting auto insurance companies from using sex, marital status, homeownership, credit score, education level, occupation, and zip codes from determining auto rates.
The changes are complex so DIFS launched a new website , a new email address (email@example.com) and a 24/7 hotline (833) ASK-DIFS (275-3437).
In the coming months, DIFS will roll out new initiatives targeting elderly people, new drivers, and urban areas.