Michigan Auto Fee Set to Increase in July

Michigan’s mandatory fee to cover unlimited medical benefits for injured drivers is rising even higher.

That fee will jump from $192 to a record $220 a year, which is more than double what is was a decade ago. 

The Michigan Catastrophic Claims Association says the hike is due to a higher number of claims, rising medical care costs and lower than expected investment earnings.

Revenue from the fee covers care for people with brain, spinal cord, back and neck injuries.

Governor Gretchen Whitmer ordered an audit into the Michigan Catastrophic Claims Association to provide transparency after the hike.

Whitmer said Michiganders “deserve to know why they are being forced to shell out hundreds of dollars in additional fees for car insurance.”

Michigan is the only state to require unlimited lifetime coverage for medical expenses resulting from auto crashes.