Michigan Drivers May See A Hike In Their Already Expensive Auto Insurance
Michigan already has one of the highest auto insurance rates in the country, but they could go up soon for about 2 Million Michigan drivers.
The increase would only be about $40 a year, but it would hit the majority of Michigan drivers.
The reason for the increase is a tax credit given to auto insurance companies in Michigan, that Governor Snyder is trying to repeal this year. The current credit helps to cover the cost for insurance companies if one of their clients was in an accident with an uninsured driver.
If the credit is repealed then Governor Snyder would be able to free up about $80 Million for the general budget fund.
There are plenty of supporters on either side of the governors decision, but Snyder could introduce the paperwork by next week.
There are many factors connected with this insurance credit, and I won't lie, I don't understand quite a few of them. The complete write up by the Detroit Free Press explains them fairly well.
The one thing that every driver in Michigan understands all to well, is that we pay a lot for insurance. That's the first thing any of us hears about from someone who just moved to Michigan. Do we really want to give more reasons to raise the rates, or should we be pushing for ways to have the auto insurance rates in Michigan lowered?