5 Michigan Auto Insurers Pledge to Freeze Rates

One week after Michigan Gov. Jennifer Granholm called on auto insurance companies to freeze their rates, five insurers have said they will comply.

In a Feb. 3 order, Granholm asked each automobile insurance company doing business in Michigan to pledge to freeze automobile insurance rates in Michigan for a 12-month period effective immediately, but no later than March 1, 2009, while the Michigan Legislature works to enact automobile insurance reform.

As of Feb.10, according to the Michigan Office of Financial and Insurance Regulation, the following insurance companies had pledged to freeze rates for a 12-month period: American International South Insurance Co., Electric Insurance Co., IDS Property Casualty Insurance Co., Merchants Mutual Insurance Co. and Wolverine Mutual Insurance Co.

Latest Comments

• February 13, 2009 at 6:55 am

  Ratemaker says:

  We don't know yet. The Gov. issued an executive order, but the commissioner hasn't issued a rule interpreting it yet.
• February 13, 2009 at 8:31 am

  Business Man says:

  The funny thing is some of the carriers don't have any premium to speak of. The other 174 already had their rates filed. OFIR came out with a directive requiring carriers as o... read more
• February 12, 2009 at 4:06 am

  Jerry says:

  What is the benefit? Either the state is prohibiting rate changes or it is business as usual. I don't get it?