Vote Smart's Synopsis:

Vote to pass a bill that amends no fault auto insurance rates.

Highlights:

• Specifies that individual drivers may choose between 3 different individual insurance plans starting June 30, 2018, which will result in a premium rate cut as follows (Sec. 3109):

• A 40 percent cut for drivers who opt for a $250,000 personal injury coverage plan;

• A 20 percent cut for drivers who opt for a $500,000 personal injury coverage plan; and

• A 35 percent cut for a driver over the age of 62 who opts for a lifetime personal injury coverage plan.

• Specifies that an insurance provider, including, a producing agency, an employee, or agent of the insurance provider is not liable for damages related to providing insurance that was caused by the producer, employee, or agent (Sec. 1245).

• Specifies that the following information requirements for auto insurance registration must be applied equally throughout the state, including, but not limited to (Sec. 2111):

• The age, length of experience, or years licensed by the driver;

• The average miles driven weekly or annually;

• Vehicle make, model, and age;

• Earned income of the driver;

• Number of dependents for the driver; and

• Number of cars owned by the driver.

• Requires that insurers must establish a secondary rating plan that provides for premium surcharges for auto insurance that covers any or all of the following (Sec. 2111):

• Substantially at-fault accidents; and

• Civil infractions.

• Prohibits an insurer from establishing or maintaining rates for auto insurance based on an individual’s sex or marital status (Sec. 2111).

• Specifies that the date a motor vehicle accident policy is issued or renewed will be the  effective starting date for personal protection insurance coverage (Sec. 3104).

• Specifies that an insurer is not required to provide the following types of coverage for injured individuals, including, but not limited to (Sec. 3104):

• More than 56 hours of cumulative in home coverage per week if the care is provided by an individual related to the injured person or had business together; and

• Ground or air level transportation services, other than ambulance services;

• Specifies that insurers will provide financial support for individuals in auto insurance programs in order to reduce the amount of automobile insurance fraud and theft, which will be monitored by the state and have the option to expire after 5 years (Sec. 6302).

Full Bill Text