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Governor Whitmer, State Leaders Celebrate Cost Savings Provided by Auto No-Fault Reform Law

Media Contact: Laura Hall, 517-290-3779,
Consumer Hotline: 833-ASK-DIFS,


(LANSING, MICH) Just over two years since Michigan’s historic, bipartisan auto insurance reform law took effect, Governor Gretchen Whitmer and other state leaders are celebrating the law’s successes in reducing costs while enhancing consumer protections. The first provisions of the law, signed by Governor Whitmer in 2019, took effect July 1, 2020.

"In 2019, Republicans and Democrats in the Legislature and I came together to deliver historic, bipartisan auto insurance reform that lowered costs for drivers and allowed us to deliver $400 refund checks per vehicle to drivers earlier this year,” said Governor Gretchen Whitmer. “This bipartisan law has put money back in people’s pockets while helping to attract new businesses and jobs to our state. I will work with anyone to lower costs and deliver real change that makes a difference in people’s lives on the kitchen-table issues. Let’s keep growing Michigan’s economy and finding creative ways to cut costs and put money back in people’s pockets.”

"Under the state’s old insurance law, Michiganders, and especially Detroiters, were forced to pay the most expensive car insurance rates in the nation, but the new law has brought down costs and given drivers new options,” said Lt. Governor Garlin Gilchrist. “As we work together to ensure that Michigan is the best state in the union to live, work, and raise a family, I am proud of the work that has been done to put money back into the pockets of Michigan drivers while establishing enhanced consumer protections.”

"Michigan’s new auto insurance law brought new choices to Michiganders, and as more new companies enter our auto insurance market, it is important that drivers shop around for the coverage that fits their needs and budgets,” said DIFS Director Anita Fox. “DIFS is available to answer consumers’ questions about the new law. Drivers can call 833-ASK-DIFS Monday through Friday, from 8 a.m. to 5 p.m. for assistance or visit for more information.”

In May 2019, Governor Whitmer signed auto no-fault legislation designed to lower costs for Michigan drivers, maintain the highest coverage options in the country, and strengthen consumer protections, as well as giving consumers a choice in their level of Personal Injury Protection (PIP) medical coverage. The law began taking effect in July 2020 and, in the two years since, Michigan’s new auto insurance reform law has successfully lowered the cost of auto insurance in Michigan, including:

  • Generating more than $1 billion in premium savings across the state, ensuring that Michigan is no longer the most expensive state for auto insurance.
  • Reducing costs, resulting in more than $3 billion in game-changing auto insurance refunds, which were issued to Michiganders earlier this year from the Michigan Catastrophic Claims Association.

In addition to the law’s direct financial benefits, several other important accomplishments should be highlighted:

  • More than 202,000 previously uninsured drivers took advantage of the law’s amnesty period to buy auto insurance without paying a penalty;
  • 46 new companies or affiliates have received authorization to enter Michigan’s market, expanding consumer choice;
  • All new PIP coverage options, including an opt-out for Medicare participants, which can help drivers save money on auto insurance;
  • Established the DIFS Fraud Investigation Unit, which has helped Michiganders resolve insurance and financial fraud concerns;
  • DIFS has established new processes to quickly address access to care and provider billing concerns in order to hold insurers accountable to the law and their obligations to policyholders.

Educational resources to help drivers learn more about auto insurance, including publications and instructional videos, are available at In addition, DIFS continues to operate its dedicated, no-fault hotline with calls being answered Monday through Friday from 8 a.m. to 5 p.m. Drivers can call 833-ASK-DIFS (275-3437) or email for assistance. Consumers may file a formal complaint by visiting

The mission of the Michigan Department of Insurance and Financial Services is to ensure access to safe and secure insurance and financial services fundamental for the opportunity, security, and success of Michigan residents, while fostering economic growth and sustainability in both industries. In addition, the Department provides consumer protection, outreach, and financial literacy and education services to Michigan residents. For more information, visit or follow the Department on Facebook, Twitter, or LinkedIn.