Additional round of auto insurance refunds possible, says Michigan’s DIFS

The Department of Insurance and Financial Services (DIFS) in Michigan has stated that it is possible to have another round of car insurance reimbursements for drivers in the state – but only if certain conditions are met.

The regulator first granted auto insurance companies until May 9 to issue refunds of $ 400 to drivers issued insurances by October 31, 2022. Repayments were made possible thanks to a surplus of funds from the Michigan Catastrophic Claims Association, which transferred $ 3 billion back to insurance companies for them. to return to customers.

Read more: Car insurance companies to start issuing $ 400 repayments

DIFS has stated that as of July 1, 2022, the state’s new car insurance law would require the regulator to make independent actuaries and review records from the Michigan Catastrophic Claims Association for the past three years. If DIFS finds that the non-life insurance fund’s assets exceeded 120% of its liabilities, a further repayment round may be possible.

“DIFS’s priority is to ensure that Michigan residents benefit from the savings created by the new Car Insurance Act in all possible ways, and we will communicate additional information after the actuarial investigation is completed,” the regulator said.

As reported by WEYI-TV, there are other factors that can influence this decision, said DIFS, such as the fund’s investment results, assessment income and claims experience.

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