Stimulus Update: New Refunds Will Soon be Sent to Americans, Find Out Who Qualify
There were some small discounts and rebates offered to drivers last year by insurance companies. The pressure is now on them to give more money to drivers.
According to MoneyWise, another round of insurance company refunds has been ordered for drivers in one state after the governor expressed concerns about insurers hoarding funds.
Refunds for Car Insurance
Despite the coronavirus pandemic, taxpayers aren’t getting their hands on only stimulus checks.
The United States has also seen rebates from car insurance providers.
Because of widespread lockdowns and an increasing number of people working at home or remotely, people had less time to spend on the road.
Upon the request of Gov. Gretchen Whitmer, the Michigan Catastrophic Claims Association will give $5 billion from its surplus funds to Michigan citizens.
Whitmer is also requesting from Motor Carrier Compensation Association (MCCA) an immediate refund for insured drivers after June’s $5 billion surplus report, according to Click on Detroit.
As a result of a unanimous vote on Wednesday, Whitmer’s request was granted by the association.
Michigan Catastrophic Claims Association
According to WXYZ Detroit, the MCCA was founded in 1978 by the Michigan Legislature as a private, non-profit organization.
No-fault insurers received reimbursement for PIP medical benefits in excess of $600,000 until auto insurance reform takes effect in 2020.
Until the law was passed, Michigan drivers were charged an annual fee per vehicle for unlimited health insurance.
Michigan Governor Gretchen Whitmer has called for refunds up to $675 a vehicle in her state to be “promptly returned” to policyholders.
In response to the governor’s request, membership in the association has quickly reached a decision to refund, but they are not sure they will be able to do so in full.
Law may mandate only $100 refunds, so drivers must find other ways to save money.