Assault on Insurance Industry Continues in Michigan

NAMIC and trade partners have been working for weeks in Michigan to combat the House Democrats’ package of bills attacking the insurance industry. Despite the existing consumer protections in place in Michigan through the insurance commissioner, the House Democrats have issued 12 proposed measures that create new causes of action and a new system of fines and penalties apart from the Insurance Code. The cause: allegations of widespread denial of legitimate claims.

NAMIC is asking you and your companies to help us fight back on behalf of the industry and the 55,000 Michigan citizens that make their hard-earned living in the insurance industry. Please visit the opposition’s website to see messages that are currently being used to justify this attack on our industry.

Our friends at the Insurance Institute of Michigan released some excellent talking points on Friday that will be of use as you and your companies contact the House Insurance Committee to argue against this 12-measure assault:

In addition to these excellent points, NAMIC would also encourage you to focus on the effects bad-faith-type measures have on your company’s ability to conduct business efficiently. One of the obvious effects of creating new causes of action is to create increased frivolous claims and insurance fraud in efforts to garner settlements. This point, however, often is not emphasized enough. So make sure you focus on the protections already in place through the Michigan insurance commissioner and Chapter 20 of the Insurance Code.

NAMIC asks that you contact members of the House Insurance Committee this week to issue your opposition on HB 4244, 4844, 4846, 5020, and 5144-51.

Direct questions to NAMIC State Affairs Manager Erin Collins.