Monday, October 24, 2011

MICHIGAN AUTO INSURANCE: Changes needed...

A car accident in Tokyo, Japan.Image via Wikipedia
Michigan is the only state that offers UNLIMITED LIFETIME COVERAGE for people involved in life-altering car accidents. The Michigan Catastrophic Claims Association pays for all accident claims over $500,000 and is funded by payments from motorists buying insurance policies in the state.

Now we are being told that the claims association will run out of money and will have to increase what motorists pay into the fund which will make expensive auto policies that much more expensive at a time when many people are having trouble paying for their auto insurance.

The proposal is to give motorists cheaper options of $500,000 to $5 million for post accident coverage BUT opponents are saying that people are stupid and will always opt for the cheaper policies and therefore face problems when they are involved in really serious life-altering accidents.

Excuse me but let the people decide what coverage they want and not YOU decide for them. Since Michigan is the only state with life-time coverage means we are doing something STUPID or else other states would have the same law.

Nearly 99% of accident injuries are under $250,000 in Michigan but it takes only a few people with life-altering injuries to blow through millions of dollars in the fund AND we are being told, care providers knowing Michigan covers life-time medical expenses, use it to their advantage and that needs to stop now.

The fact that Michigan has some of the highest numbers of UNINSURED MOTORISTS makes this bill so important; lower cost of auto insurance and maybe more people will be able to afford coverage.

I feel bad for the few people that need life-time medical coverage but I don’t think it is fair to punish all of us with such high insurance premiums; there must be a better way and I think this proposal is just that.

We need to get out of our welfare mentality; we cannot afford that mentality any more.

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