2007 Senate Bill 37: Create government auto insurance affordability task force

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Introduced by Sen. Martha G. Scott (D) on January 24, 2007, to create a government "Make Insurance Affordable And Accessible Task Force" to examine and make recommendations regarding the affordability and availability of automobile insurance relative to average family income in all areas of the state, especially Detroit. The task force would also investigate ways to increase the affordability and availability of automobile insurance by looking at how it is marketed and priced around the state; the use in setting rates of territorial ratings, credit scoring and other premium discounts, driving records; the impact of insurance loss ratios and profit margins, average cost of claims, cost of mandatory benefits; and methods to reduce automobile insurance premiums, including group pooling and insurance reciprocal exchanges.
- Referred to the Senate Economic Development and Regulatory Reform Committee on January 24, 2007.

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1) insurance credit scoring by Anonymous Citizen on September 9, 2008
An unfair practice! It should be illegal.Insurance prices should be regulated. I have a perfect driving history, and have a bad credit score. What does that have to do with the risk of loss!!! I can't afford these high prices of any Insurance!
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2) Central Planning Fails Every Time!! by Kurt Gallinger on February 20, 2007
This bill proposes to appoint a panel of central planners to identify the "right" market choices for consumers statewide. Which panel possesses the knowledge and expertise superior to Michigan consumers voting with their wallets?

Despite loss cost studies, urban insurance task forces and evaluations of the level of competition in the Michigan insurance market, (all of which conclude that loss costs drive price and the marketplace is competitive) some people want government to "fix" the system that works best when left alone. Central planners only cause problems and more central planners will make them worse.

Forcing insurance companies to rate policies as if one size fits all will result in consumers with low cost claims profiles subsidizing consumers with high cost claims profiles. And when it comes to meddling in the insurance marketplace, that is frequently all the central planners have to offer.

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3) sb37 by Anonymous Citizen on February 2, 2007
'in all areas of the state, especially Detroit.' Why the insertion of these last two words? Does that tell you something about which way Lansing leans? I'm a little tired of bailing out KK and his dying city!
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