MIchigan Drivers Pay too much for Auto Insurance

On average, four Michigan residents suffer catastrophic injuries each day in auto accidents.

That figure is based on a 2006 projection by the Michigan Catastrophic Claims Association, a group set up to cover lifetime care for those who are paralyzed or sustain other severe, permanent damage from crashes.

Nearly 20,000 auto insurance claims have been filed since 1978, when legislators created the private association as part of our state's pioneering no-fault approach to auto insurance. Almost three decades later, however, the compassion and fairness behind that vision is undercut by insurers' influence in the Legislature, judiciary and the claims association they run.

As a result, every Michigan driver and motorcyclist pays more than appears necessary to sustain a cash-rich catastrophic insurance fund while the same industry battles to limit or cut off benefits promised to any injured driver, passenger or pedestrians under the no-fault law. We're seeing a profit-driven betrayal of policyholders and callous treatment of accident survivors.