The announcement comes shortly after Gov. Jennifer Granholm called on all insurance companies to freeze
Michigan auto insurance premium rates while automobile insurance reform is enacted in the Michigan Legistature.
However, that legistature has run into few roadblocks in the Michigan state legislature. Bills and executive orders issued by Granholm that would have blocked
insurance companies from basing rates on zip codes and have either died in the Legislature floor or been stopped by the Michigan Courts. State Rep. Hansen Clarke, D-Detroit, is pushing for a possible ballot proposal that would end insurance companies’ practice of rates by zip code. Another 96 insurance companies in Michigan declined to take the pledge by Granholm’s March 1 deadline.
Michigan auto insurance has simply become unaffordable to many of the state’s citizens and I commend these companies for pledging to freeze their,” OFIR Commissioner Ken Ross said.