2015 House Bill 5032

Mandate auto insurers notify state of cancelations

Introduced in the House

Oct. 28, 2015

Introduced by Rep. Pete Lucido (R-36)

To require auto insurers to notify the Secretary of State if a person does not renew or cancels vehicle insurance, or if the policy is terminated. Also, to increase the penalty to $1,000 for second and subsequent driving-without-insurance violations. Under Michigan’s no-fault insurance law drivers are required to have insurance in order to register and operate a vehicle, but the state has no way of knowing if a person cancels the insurance after paying the annual vehicle registration tax.

Referred to the Committee on Insurance