Mich. House Democrats approve bills to change how auto insurance rates can be set in state

Michigan House Democrats OK auto insurance bills

LANSING, Mich. — The Michigan House has passed legislation that would change how auto insurance rates could be set in the state.

A bill that would prohibit using a driver’s education level, credit history or occupation to determine rates passed by a 57-47 vote Wednesday. Another bill would prohibit rate increases for drivers who are not at fault in accidents.

The House did not vote on a measure that would require companies to get prior approval from the state insurance commissioner before raising rates.

Majority Democrats say the bills are designed to protect consumers and lower rates.

Opponents including the insurance industry say the proposals would drive up costs for motorists and jeopardize jobs. The measures are unlikely to be taken up in the Republican-led Senate.