GOV. WHITMER SIGNS BILLS PROTECTING RENTERS FROM EXCESSIVE FEES ON RENT

The following information was released by the office of the Governor of Michigan:

Bills also prohibit insurance companies from using unfair pricing models and ensure that federally approved patient incentives are not unintentionally blocked

LANSING, Mich. Today, Governor Gretchen Whitmer signed four bipartisan bills that require landlords to offer a way for tenants to pay without an added fee, modify the definition of kickbacks to protect medical incentives, and prohibit insurance companies from using unfair pricing models to charge customers different rates for factors out of their control. These bills build on Governor Whitmer's work to protect consumers, lower costs, and stop companies from nickel and diming Michiganders.

"There's nothing more frustrating than trying to pay a bill online only for companies to raise the price at the last second with additional fees," said Governor Whitmer. "Michiganders deserve affordable systems that work for them. That's why I'm proud to sign these bipartisan bills that stop insurance companies from using unfair pricing models, protect medical benefits, and keep Michigan renters from having to pay unnecessary fees on their monthly bills. Let's keep working together to protect consumers and put more money back in Michiganders' pockets."

Senate Bill 373, sponsored by state Senator Cavanagh, requires that all rental agreements must have at least one method of paying rent that does not impose an extra fee, protecting renters against mandatory junk fees or surcharges.

"As affordable housing becomes increasingly out of reach for Michigan families, I'm fighting to ensure everyone has access to a safe place to call home," said state Sen. Mary Cavanagh (D-Redford Township), sponsor of Senate Bill 373. "My bill requires landlords to offer tenants one fee-free way to pay rent, ensuring unnecessary fees aren't pricing families out of housing. While this is a small piece in ensuring housing affordability, today's bill signing illustrates our continued commitment to tackling the housing crisis head-on and fighting for a more just, affordable Michigan for all."

Senate Bill 22, sponsored by state Senator Anthony, allows the return of a security deposit by electronic transfer through direct deposit or the internet. This change makes it easier for renters to get their deposits back from landlords.

"Many of us understand the relief that comes from receiving your security deposit after a long wait and the breathing room it brings to your budget," said state Sen. Sarah Anthony (D-Lansing), sponsor of Senate Bill 22. "Now, with the skyrocketing costs of housing and other everyday essentials weighing heavily on Michigan renters, we're taking a commonsense step to bring them that relief quicker and easier. Modernizing the rental security deposit return process reduces hurdles and headaches for renters and landlords alike, and I'm grateful to Gov. Whitmer for signing my bill into law."

Senate Bill 1013, sponsored by state Senator Moss, prohibits insurance companies from setting rates based on a customer's willingness to pay more. This bill codifies a Michigan Department of Insurance and Financial Services 2024 bulletin and protects Michigan ratepayers from this unfair practice.

"Insurers use price optimization to unfairly raise the rates of unsuspecting customers just because they know they can all the while Michigan drivers are already paying some of the highest car insurance premiums in the nation," said state Sen. Jeremy Moss (D-Bloomfield), sponsor of Senate Bill 1013. "These strong consumer safeguards will protect Michiganders from unfair practices that are squeezing their paycheck. I'm proud the governor signed my bill into law."

Senate Bill 1052, sponsored by state Senator Chang, modifies the definition of kickbacks or bribes to specify that model arrangements and model patient incentives sponsored by the Centers for Medicare and Medicaid Services (CMS) would not be considered a kickback or bribe. This bill will prevent Michigan's anti-kickback statute from unintentionally blocking beneficiaries from receiving federally approved patient supports, such as fertility preservation, travel assistance, and care coordination.

"At the state level, we remain committed to doing everything we can to protect affordable, accessible healthcare, including fertility treatments for our residents who have undergone gene therapy," said state Sen. Stephanie Chang (D-Detroit), sponsor of Senate Bill 1052. "Paired with our bipartisan state budget, Senate Bill 1052 will help protect access to fertility treatments for more Michiganders, ensuring they get the care they need to start their families and maintaining quality health care."

Lowering Costs for Michiganders

Governor Whitmer has been focused on lowering costs for Michiganders. Since taking office, the Whitmer-Gilchrist administration has:

Rolled back the retirement tax to save 500,000 households an average of $1,000 a year.

Ended state taxes on tips, overtime, and Social Security.

Signed a deal raising the minimum wage to $15/hour one year ahead of schedule for more than 700,000 workers and making Michigan's earned sick time the best in the country, while providing more flexibility for small businesses.

Established Michigan Reconnect to offer any Michigander 25 and older tuition-free associate's degree or skills certificate. In this year's budget, expanded Michigan Reconnect to Michiganders 21 and older.

Established the Michigan Achievement Scholarship to save students thousands of dollars a year as they pursue a skills certificate, associate's degree, or bachelor's degree.

Expanded access to free pre-K to every four-year-old so every kid can arrive at kindergarten ready to learn.

Eliminated the tampon tax

Announced the MI Open Account Coalition offering low or no-cost financial services, saving 120,000 eligible families an average of $3,000 a year and helping them build wealth.