Auto Insurance Changes In The Works

(WLNS) – Within a two day period, Senate bill 248 passed through a senate committee and was successfully voted through the senate.

Supporters say the changes will lower insurance costs. Those that oppose the bill say it doesn’t do enough for Michigan drivers injured in car accidents.

Both sides had their say during a house insurance committee meeting Tuesday.

The house committee chair said due to the quick process of this bill, they wanted to make sure both sides had time to say their piece.

During the hearing committee members heard four testimonies.

But there were still many questions left unanswered.

Major issues with this bill boil down to how much insurance companies have to pay if you’re seriously injured in a crash.

Insurers claim they’re being charged more for medical services than someone seeking treatment themselves at a hospital.

On top of that, right now they’re on the hook for unlimited payments for medical services after an accident.

Some lawmakers say that’s unfair and want to make a new office to take over paying claims after a certain amount, so that insurance companies don’t have to.

They also want to see caps on how much some healthcare services can be billed to insurance for and want a fraud investigation department set up.

The committee will meet again Wednesday, after house session, if necessary.

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