HOUSE BILL No. 4048

 

January 27, 2005, Introduced by Reps. Lemmons, Jr. and Lemmons, III and referred to the Committee on Insurance.

 

     A bill to amend 1956 PA 218, entitled

 

"The insurance code of 1956,"

 

(MCL 500.100 to 500.8302) by adding section 2110c.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 2110c. An insurer shall establish and maintain a premium

 

discount plan of not less than 20% for a good driver who has been a

 

licensed driver in this state for the immediately preceding 3

 

years. The premium discount plan shall be uniformly applied to all

 

the insurer's insureds and shall use factors in addition to those

 

permitted by section 2111 for insurance so long as the discount

 

plan is consistent with the purposes of this act and reflects

 

reasonably anticipated reductions in losses or expenses. This

 

section does not affect benefits or obligations required under

 

chapter 31. Nothing in this section authorizes an insurer to offer


 

or prohibits an insurer from offering premium discount plans

 

concerning any of the following:

 

     (a) Health care services, health care providers, or health

 

care facilities.

 

     (b) Automobile repair providers.

 

     (c) Materials used in the repair of an automobile.