Auto No-Fault Legislation Signed By Gov. Whitmer – Shield Insurance Agency Blog

Auto No-Fault Legislation signed by Gov. Whitmer


May 30, 2019  

Gov. Whitmer Signs Historic Bipartisan Auto No-Fault Legislation  

MACKINAC ISLAND, Mich. — Today Governor Gretchen Whitmer signed Senate Bill 1, auto-no-fault-legislation, which passed with overwhelming Senate Bill 1, to reform Michigan’s auto insurance system to guarantee lower rates for every Michigan driver, protect insurance coverage options, and strengthen consumer protections.  

“By signing this legislation, we are providing relief to millions of drivers across the state and guaranteeing a better auto insurance system for everyone,” Whitmer said. “This historic deal shows that, when we put party aside, we can find common ground on our state’s toughest issues to provide realistic and affordable coverage options for drivers across Michigan.” 

Senate Bill 1 reforms a broken auto insurance system and offers historic protections for drivers across our state. The bill, negotiated by Governor Whitmer with legislative leaders, will save drivers money by: 

  • Guaranteeing lower rates for drivers for eight years;   
  • Protecting people’s choice to pick their own Personal Injury Protection (PIP) options with coinciding PIP rate reductions, offering unlimited coverage (10% PIP reduction), $500K coverage (20% PIP reduction), $250K coverage (35% PIP reduction), $50K coverage for Medicaid eligible recipients (45% PIP reduction), or a complete opt out for seniors or anyone with sufficient private insurance (100% PIP reduction). 
  • Increasing consumer protections by banning companies from using non-driving factors, such as ZIP code, FICO score, gender, marital status, occupation, education attainment, and homeownership, to set rates. 
  • Setting fee schedules for hospitals and providers to prevent overcharging for auto-related injuries.  

“I am proud to have worked alongside Senate Majority Leader Shirkey, Senate Democratic Leader Ananich, Speaker of the House Chatfield, House Democratic Leader Greig, and all members of the legislature to solve a problem that has been hurting Michigan families for far too long. We still have more important work ahead of us, and I have no doubt that we can seize on this momentum to pass a strong, bipartisan budget that fixes the damn roads.”  

Senate Bill 1, auto-no-fault-legislation, sponsored by Senator Aric Nesbitt (SD-26), will be filed next week with the Office of the Great Seal and take effect at that time. 


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Cost Reduction For Michigan Drivers – Shield Insurance Agency Blog

Cost Reduction for Michigan Drivers

Gov. Whitmer Statement on MCCA’s 55% Cost Reduction for Drivers

LANSING, Mich. — Governor Gretchen Whitmer released the following statement today in response to the Michigan Catastrophic Claims Association lowering their per-vehicle assessment to $100 starting July 2, 2020, through June 30, 2021. The MCCA stated the 55 percent reduction was a direct result of the no-fault insurance reforms signed into law by Whitmer earlier this year.

“Today’s reduction by the MCCA demonstrates that our historic bipartisan legislation will provide real savings to Michigan drivers,” said Governor Whitmer. “The new law will enhance consumer protections and continue to lower costs for Michiganders by mandating rate reductions for eight years. Millions of Michigan drivers will finally see relief under a new system that maintains the highest benefits in the country.”

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Insurance Reforms Resources To Help – Shield Insurance Agency Blog

Insurance Reforms: Resources to Help

Insurance Reforms: Resources to Help

Insurance Reforms: The Department of Insurance and Financial Services (DIFS) has developed educational resources to help Michigan drivers navigate the state’s new auto insurance law. DIFS has launched a new website,, created consumer guides, and now has a dedicated hotline, 833-ASK-DIFS (275-3437), and email address,, where drivers can ask questions and file complaints related to auto insurance in Michigan.

In addition to creating these new educational resources, DIFS is also working to implement the legislation to ensure consumer protection and industry compliance.

In May 2019, Gov. Whitmer signed historic bipartisan auto no-fault legislation to lower costs for Michigan drivers, maintain the highest coverage options in the country, and strengthen consumer protections. These changes apply to auto insurance policies issued or renewed after July 1, 2020.

“Last year we worked closely with leaders from both political parties to preserve no-fault and create a better auto insurance system for Michigan drivers. Protecting policyholders and providing them access to affordable coverage is fundamental to the prosperity of our entire state,” said Whitmer. “Drivers are now encouraged to use these educational resources before making the important decision of choosing their auto insurance policy.”

The new site details changes in the law, new coverage options, shopping tips, and provides many other resources that help explain the new reforms and how they will affect auto policies in Michigan.

“DIFS is here to help Michigan drivers understand the new auto insurance law so they can decide on a policy that best fits their family’s needs and budget,” said DIFS Director Anita Fox. “We are focused on educating policyholders and implementing these reforms to ensure that consumers are protected and that companies are in compliance with the law.”

Following the signing of no-fault reform, DIFS began taking important steps to implement the new law. These measures include:

  • Fraud Investigation Unit: DIFS has established a new unit to investigate criminal and fraudulent activity related to the insurance and financial markets and work with Michigan Attorney General Nessel and law enforcement to prosecute these crimes.
  • New Consumer Forms on Coverages: DIFS developed new forms for insurance companies, agencies and agents to provide to drivers when choosing new coverage options.
  • Independent Actuaries: In anticipation of an increase in auto insurance company rate filings, DIFS’ rate review staff is working closely with independent actuaries to ensure the filings are thoroughly reviewed and actuarily sound.
  • Industry Bulletins: DIFS has issued more than 10 bulletins to the insurance industry regarding compliance in the areas of rate filing, reimbursement rates, and other enforcement issues.

Key Aspects of Michigan’s New Auto Insurance Law:

Lowers Costs, Maintains Highest Benefits

  • Personal Injury Protection (PIP) Choice: Drivers will be able to choose a coverage level that is right for their family. The new limits equal or exceed the highest benefits in the country and Michigan is the only state where unlimited PIP medical coverage continues to be an option. PIP medical pays for medical care if policyholders are in an auto accident.
  • Premium Reduction: Each insurance company will be required to reduce statewide average PIP medical premiums for eight years. Drivers’ overall premiums will depend on their individual circumstances and the coverage they select.
  • Fee Schedule: The new law establishes a fee schedule designed to control the costs that medical providers may charge auto insurers for their services. This is similar to cost control provisions used by other types of insurance, such as health insurance. This fee schedule will make PIP medical coverage premiums more affordable for policyholders, but will not affect the services to which existing and future accident victims are entitled.
  • Michigan Catastrophic Claims Association (MCCA) Assessment: The MCCA has already announced that as a direct result of the new law, it is lowering its per vehicle assessment starting July 2, 2020, which will save Michigan drivers at least $120 per car.

Increases Consumer Protections:

  • Elimination of Certain Non-Driving Factors: The new law prohibits auto insurance companies from using sex, marital status, home ownership, credit score, educational level, occupation, and zip codes in setting auto insurance rates.
  • Prior Approval: Auto insurance rates must now be filed with and approved by DIFS prior to being offered to consumers.
  • Fines and Penalties: The new law allows for increased fines on insurance companies, agencies, and agents for certain violations of the law.
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Auto No-Fault Reform Quick Facts – Shield Insurance Agency Blog

Auto No-Fault Reform Quick Facts


On May 30, 2019, Governor Whitmer signed a historic bipartisan no-fault auto insurance reform bill to provide lower rates for Michigan drivers, protect insurance coverage options, and strengthen consumer protections.

When Does the New Law Take Effect?

The law currently requires you to carry unlimited medical coverage to pay for your expenses if you are injured in an auto accident. The new law allows you to choose a level of medical coverage when your policy renews after July 1, 2020. If you are already receiving payments from your auto policy due to injuries from an auto accident, you will continue to receive the current unlimited benefit regardless of the choice you make for the future. This is also true if you are injured in an accident between now and July 1, 2020.

Will My Auto Insurance Bill Be Lower When the Law Goes Into Effect?

Because the new law will allow drivers to choose a level of medical coverage, insurance companies are required to reduce the premium for this coverage (known as PIP coverage) so that there will be an average reduction per vehicle based on the level of coverage chosen.  Your premium and savings will depend on the PIP option you select and other coverages you choose.

How Will I Know What Choices I Have and What to Choose?

The new law requires that agents and insurers give you a form that describes the benefits and risks of the coverage options. You may also want to talk with an insurance agent to discuss your personal auto insurance needs.  In addition, DIFS’ website will be updated on an ongoing basis to provide the latest information to Michigan drivers as the effective dates of the new law approach. Please check for updates and educational materials.

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Homeowners Discount For Insurance – Shield Insurance Agency Blog

Homeowners Discount for Insurance

Dependable homeowners insurance shouldn’t have to strain your family’s budget. Nationwide helps you get affordable insurance by offering a range of homeowners discounts. Find out which homeowners insurance discounts you qualify for and start your quote today.

Multi-policy for a Homeowners Discount

Combine and save. Get a discount on home and renters insurance when you bundle your property and auto insurance with Nationwide.

Protective device

Get a discount if your home has smoke detectors, fire alarms, burglar alarms, or other qualifying devices.


You may qualify for a lower premium on your home insurance when you stay claims-free.

Home renovation credit

Get a homeowners insurance discount for renovating your home’s plumbing, heating, cooling, or electrical systems.

Roof rating

Save money based on your roof’s age and surface type.

Home purchase

Receive a discount if you purchased a home within the last 12 months.

Prior insurance

This discount is available to new members and is based on the number of years you were continuously insured by your previous carrier.

Gated community

A discount is available when all vehicle entrances to your community are protected at all times by security guards, residence cards, or key-lock devices.

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The Best Frequent Flyer Programs Of 2020 – Shield Insurance Agency Blog

The Best Frequent Flyer Programs of 2020

Struggling to decide which airline loyalty club gets you the best benefits and the most frequent flyer miles? Now there’s a calculator to help you decide.

WalletHub has released its annual ranking of the best domestic frequent flyer programs. Here are the top five out of the 10 reviewed:

  1. Delta Air Lines – SkyMiles
  2. United Airlines – MileagePlus
  3. Alaska Airlines – Mileage Plan
  4. Southwest Airlines – Rapid Rewards
  5. JetBlue Airways – TrueBlue

The extensive ranking examined the number of daily flights, destinations and countries served, partner airlines, expiration and blackout dates, earning limits and more—23 metrics in all.

And while Delta took first place for the fifth straight year, United Airlines is right on its heels. And Southwest, while fourth overall, had a high score for “light” flyers who spend about $574 per year on air travel.

If you want a quick glance at which program might be best for you and Frequent Flyer Miles. WalletHub has a calculator that allows you to get a recommendation by entering the amount you spend on airline travel each year. Based on whether you’re a light, average, frequent flyer, or beyond, you can see which airline had the top score for your level of anticipated spending. (“Frequent” flyers, in this case, refers to travelers who fly domestic once a month and fly internationally once a year.)

When it comes to airline loyalty programs, however, there’s really no bad choice: They’re all free, and offer up to 12% savings on airfare for frequent flyers, according to WalletHub. That means the best airline rewards program for you is probably the one that you’re going to use most.

For instance, Alaska may get high marks for its rewards program, but it doesn’t offer a lot of direct flights from my home airport in Florida to the Eastern cities I visit often. (I do not need to get to Boston via Seattle.) I’d be better off signing up for programs that offer plenty of departures from my airport, with nonstop flights to major cities. Because outside of credit card-based travel rewards programs, you don’t earn frequent flyer miles unless you actually fly.

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