Gov. Whitmer threatens veto of bill to lower Michigan car insurance

Whitmer says bill 'creates more problems'

LANSING, Mich. – Michigan Gov. Gretchen Whitmer is threatening to veto Senate-passed auto insurance legislation if it gets to her desk in its current form.

UPDATE: Michigan House passes auto insurance reform bill: What to know

The Democrat said Tuesday the bill headed toward the House “creates more problems than it solves.” The Senate earlier Tuesday approved a bill that would eliminate Michigan’s unique system requiring drivers to buy unlimited medical coverage for crash injuries. Instead, they would buy a lower amount of coverage or none at all if they have qualifying health insurance.

Whitmer says the legislation “preserves a corrupt system where insurance companies are allowed to unfairly discriminate in setting rates and the only cuts it guarantees are to drivers’ coverage.”

Majority Republicans say their legislation would slash a unique fee assessed on Michigan drivers, and insurers would have to cut personal injury protection rates to appease regulators and stay competitive.