Tate Wants Additional Savings Tied Into Auto Insurance Reform 

05/07/24 01:01 PM By Team MIRS

(Source: MIRS.news, Published 05/06/2024) House Speaker Joe Tate (D-Detroit) is reviewing opportunities for additional savings for Michigan drivers as Senate-passed bills to bolster reimbursement rates for those caring for survivors of catastrophic car wrecks sit in a House committee, a spokesperson said Monday. 

 

The Michigan HomeCare & Hospice Association sent a letter to Tate Monday asking for the House to consider SB 530, SB 531 and SB 575 before the summer recess. Association President Barry Cargill wrote that "the votes are there in the House to pass this legislation by a strong margin." 

  

The policy in question is a partial rollback of the 2019 auto no-fault insurance reform that set higher reimbursement rates for care providers, a rate that had been cut 45 percent from the 2019 reform. MIRS reported Friday that some House Democrats are suggesting behind the scenes a strategy of withholding support for the state budget until the majority takes a vote on auto insurance changes. 

  

But, through spokesperson Amber McCann, Tate said "additional changes to the current law must improve costs for consumers, and Speaker Tate believes there are likely opportunities for additional improvements beyond the changes adopted in 2019." 

  

Speaking on the MIRS Monday podcast, House Majority Floor Leader Abraham Aiyash (D-Hamtramck) said the 2019 reform was a "failure" and didn't accomplish the laid-out goals. However, like Tate, he mentioned that the savings promised by the law didn't happen. 

  

He said he still pays $3,500 a year for car insurance and believes that his rates and those of his neighbors should be based on a driving record and not on where they live or credit score. 

  

"We really got to go back to the drawing board and see how we can reduce the costs for people," Aiyash said. "Also, people should get the care they deserve and are entitled to." 

Team MIRS