Michigan no-fault insurance coverage to drop 55%

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Michigan has the highest auto insurance rates in the country, but a new law plans to lower that.

The Michigan Catastrophic Claims Association, MCCA, will lower the assessment charged per vehicle to $100.

All drivers currently pay $220 to the Michigan Catastrophic Claims Fund, making this a 55% decrease.

It only applies to those with unlimited medical coverage. For those who have lesser coverage, they could avoid the fee all together.

This comes after changes were made to the no-fault insurance law in June of this year.

MCCA said the reduction is a result of savings created by medical treatments cost controls and other factors from the no-fault change.

It’s expected to delete the two-billion dollar MCCA deficit and reduce the assessment by one-billion per year.

The law will provide different opinions for people to chose from.

It is said to go into affect in July of 2020 and last until June of 2021.