Auto Insurance Group Sues To Get More Info About Mich. Cat Claim Association’s Funds

Jan. 23--A coalition of groups opposing proposed changes in Michigan's auto insurance law filed suit this morning in Ingham County against the insurance industry association that is used to pay for care of seriously injured auto accident victims.

The group Coalition Protecting Auto No-Fault (CPAN) claims the law creating the Michigan Catastrophic Claims Association improperly exempted information about claims from state sunshine laws.

George Sinas, a lawyer for CPAN, said in a statement that money paid into the catastrophic claims fund -- a portion of every insurance policy in Michigan goes into the fund -- is "the public's money and the public has a right to know all the facts about how their money is managed and whether what the public pays in premiums is adequate to handle future claims."

$500,000.

CPAN earlier attempted to obtain information on the fund through the Freedom of Information Act, but was rebuffed. The group is seeking information about how long after their injury accident victims collect benefits and the total amount paid for each victim.

Legislation to allow consumers to purchase policies without unlimited benefits and cap the cost of medical treatment and therapy for auto injuries is pending in the state House.

Contact Dawson Bell: 517-372-8661 or [email protected]

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