May 22, 2022

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Timeline announced for $400 Michigan auto insurance refunds | State



Michigan drivers getting $400 per vehicle insurance refund







LANSING, Mich. (WJRT) – Michigan drivers must receive their $400 per vehicle auto insurance refunds by May 9, according to a new timeline announced Monday.

The Michigan Department of Insurance and Financial Services sent a bulletin to insurance companies, instructing them to send the refunds to customers no later than May 9.

The refunds are coming from the Michigan Catastrophic Claims Association, which reimburses auto insurance companies for crash claims that exceed $600,000.


Michigan drivers getting $400 per vehicle insurance refund

The association, which collects a surcharge on auto insurance policies, developed a funding surplus thanks to the state’s new insurance laws that prevent fraud and provide cost savings for the association.

The Michigan Catastrophic Claims Association is required to forward surplus money back to auto insurance companies by March 9, 2022. Insurers then have two months until May 9, 2022, to send money back to customers.

Customers will receive the money in the form of paper checks or an electronic fund transfer into their bank accounts. The payments will be issued automatically to eligible insurance policyholders, so no applications are necessary.

Gov. Gretchen Whitmer earlier announced the amount of the refunds, but the deadline announced Monday clarifies when drivers can expect their money. All vehicles covered by valid auto insurance on Oct. 31 are eligible.

Click here for full details on the auto insurance refunds from the Michigan Department of Insurance and Financial Services.