Why Michigan auto insurance rates are on the rise again

(WXYZ) – Michigan auto insurance rates are on the rise again as part of the country comes as the weather is also hammering our wallets.

In our state, some drivers received compensation after the changes in Michigan law, but now it looks like the costs are going up again.

Metro Detroit drivers say that’s enough to stop you in your tracks. Raise car insurance rates and ask what can be done.

“You’re paying through the nose for your car insurance,” said Barbara Daniels-Espey, a driver.

On a trip to the gas station on 12th and Woodward in Royal Oak, drivers like Barbara and Stephanie Lajb have a hard time seeing the bright side of car insurance rates.

“Every 6 months, policies go up $5-10. The only thing is, what do you do,” said Stephanie.

Barbara said, “for adults it is very difficult. You have to drive, eat, live.”

Living in the economy is just adding to a new report US auto insurance premiums are expected to rise 8.4% by 2023.

That would result in an average total cost of $1,780 annually, but in Michigan, the average cost is $4,788 annually — despite state officials allowing drivers to choose from PIP insurance in 2020 and the limitation of coverage in the event of accidental damage.

“In the reform that was passed by the Michigan legislature they eliminated it as a requirement, but apparently, many Michiganders still signed up for it,” said Oakland University Economics Professor Michael Greiner. .

On both sides, state lawmakers agree that more can be done to make it cheaper.

We asked leaders on both sides about the next steps moving forward.

“The cost of these plans. Ensuring that any backups are guaranteed to be saved is exactly that. Make sure. How do we make sure that auto and health insurance are affordable and that everyone is covered?” said Sen. Mallory McMorrow (D-Royal Oak).

The Senate Sen. Joe Bellino (R-Monroe), “My message is shop around like me. Use one of those 50 new companies that weren’t in Michigan before we changed the car there’s nothing wrong, it’s possible because you get better prices.”

New bills are also working in the state capital. In the meantime, Barbara hopes to avoid another year of watching her bank account, and the gas tanks blow up too soon.

“I don’t know what should be done, but if you vote for them, they should come together and think of a solution to the issue,” said Barbara.

Our new legislature is committed to addressing this issue with real solutions. We will look closely to bring you the latest information.

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