5 Michigan Auto Insurers Pledge to Freeze Rates

February 12, 2009

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.