LANSING – Coalition Protecting Auto No-Fault (CPAN) President John Cornack used today’s tax filing deadline to take the Michigan Catastrophic Claims Association (MCCA) to task for practicing “taxation without representation.” The MCCA is a private non-profit organization created by Michigan Legislature in 1978. It serves as a reinsurance fund that reimburses auto insurance companies for personal injury claims exceeding $545,000. Each Michigan driver currently is required to pay $160 annually per vehicle to fund the MCCA. In June, that fee … read more
ProPublica Story Shows Why Michigan Needs to Investigate Whether Auto Insurance Companies are Engaged in Redlining LANSING – The independent nonprofit journalism organization ProPublica recently published a report examining auto insurance premiums and payouts in California, Illinois, Texas and Missouri. The report finds that insurers charged as much as 30 percent more for premiums in zip codes where most residents were minorities, compared to white neighborhoods with similar accident risks or costs. ProPublica notes that many auto insurers included in the … read more
Several community leaders in Detroit joined together today to raise their voices against Detroit’s high auto insurance rates. Spearheaded by former State Rep. Brian Banks, the Detroit Alliance for Fair Auto Insurance launch included Detroit City Council President Brenda Jones, Spirit of Love Church Pastor DaRell Reed and auto accident survivor Saundra Gay. The new organization will seek to educate Detroit residents about Michigan’s auto insurance system and empower them to be advocates for fair auto insurance reforms at the … read more
Sen. Steve Bieda (D-Warren) introduced legislation today that would bring much needed transparency to Michigan no-fault auto insurance system. The legislation, Senate Bills 240 and 241, requires the Michigan Catastrophic Claims Association (MCCA) to abide by Michigan’s Open Meetings and Freedom of Information (FOIA) acts.
LANSING – The Coalition Protecting Auto No-Fault (CPAN) learned today that Michigan drivers will pay an additional $10 on their auto insurance premiums this year. The cost increase is the result of the insurance industry-controlled Michigan Catastrophic Claims Association (MCCA) increasing the fee charged to every Michigan auto insurance policy from $160 to $170 per vehicle. The MCCA is a reinsurance fund created by the state legislature that helps reimburse insurers for costs of caring for catastrophic auto accident victims … read more
Detroit Mayor Mike Duggan announced this evening during his State of the City Address that he would urge Lansing lawmakers to support major reforms to Michigan’s auto insurance system. In response to Mayor Duggan’s comments, the Coalition Protecting Auto No-Fault (CPAN) President John Cornack issued the following statement: “We all agree that Detroiters are paying far too much for auto insurance. However, to blame Michigan’s no-fault system is completely misleading. The medical benefits provided by Michigan’s no-fault law make up … read more
Our friends at the Brain Injury Association of Michigan said in a recent Facebook post, “lame duck session is coming and is scarier than Halloween.” Unfortunately, this year, that’s turning out to be true. Late last week, Representative Jason Sheppard, R-Temperance, introduced legislation — HB 5951 — that once again puts Michigan’s no-fault system and its critical medical benefits at grave risk. The bill proposes different levels of medical benefits, starting at an abysmal $250,000 cap on medical coverage. This … read more
LANSING – Michigan Court of Appeals issued ruling today in the Coalition Protecting Auto No-Fault’s transparency lawsuit against the Michigan Catastrophic Claims Association (MCCA). Earlier this year, the Michigan Supreme Court remanded CPAN’s case back to the Court of Appeals and instructed the Court to specifically address the issue of whether the MCCA is a “public body” as defined by Michigan law and whether the legislature’s exemption of the MCCA from the state Freedom of Information Act was constitutional. Today’s Court … read more
Michigan lawmakers recently repealed an $80 million tax credit mistakenly given to auto insurance providers in 2012. Now that this tax credit repeal has taken effect, insurers are using it as an excuse to impose a $40 rate hike on Michigan drivers. The problem: insurance companies never lowered our rates when they were enjoying their big tax credit. According to a recent Detroit Free Press article, instead of decreasing as a result of the tax credit auto insurance premiums actually … read more
CPAN Associate Counsel, Stephen Sinas sat down with The Pulse’s Karen Dumas to talk about the negative impacts of #DInsurance and the benefits of Michigan’s auto no-fault system.