Dan Gilbert could fund auto insurance ballot measure

Nov. 19--If the state legislature doesn't overhaul Michigan's auto insurance system soon, Detroit businessman Dan Gilbert may attempt to take matters into his own hands.

Gilbert and his Quicken Loans family of companies could fund a ballot initiative, putting reform of Michigan's no-fault insurance law in front of voters in 2020, the company's vice president of government relations Jared Fleisher told Crain's Detroit.

"We believe the right solution is a legislative solution (and) we believe that should happen in lame duck," Fleisher said. "If it doesn't happen in lame duck, we think it should happen in the first six months of 2019."

Michigan's unique no-fault insurance system pays for potentially unlimited medical expenses after auto accidents -- regardless of which driver messed up. It also plays a key role in driving up costs for Michigan residents, who have the highest insurance rates in the country, according to a report from The Zebra.

In August, Detroit Mayor Mike Duggan claimed the policy was unconstitutional in a lawsuit against Michigan's insurance director. That suit comes after another much-discussed no-fault overhaul proposal was voted down in the legislature last year.

For his part, Gilbert has joined other corporate leaders for some time in arguing that the law deters new residents and inflates costs.

There hasn't been a decision on exactly what a Gilbert-led proposal would contain, Fleisher said.

Any ballot campaign for a new statute would require 8 percent of this year's votes for governor -- 338,481 -- to sign petitions to qualify for the next general election. Fleisher told Crain's that he thinks other businesses would flock to the effort.

___

(c)2018 the Detroit Free Press

Visit the Detroit Free Press at www.freep.com

Distributed by Tribune Content Agency, LLC.