If you've ever winced at your Michigan auto insurance bill, there may be some relief on the way.

On June 17, the Michigan Senate Committee on Finance, Insurance, and Consumer Protection advanced two bills sponsored by Sen. Jeff Irwin (D-Ann Arbor) that would lower insurance costs and strengthen protections for drivers, policyholders, and small business owners:

• Senate Bill 328 would require insurance companies to reduce premiums by at least 10%, without cutting any of your current benefits.

• Senate Bill 245 would require insurers to handle claims honestly and in good faith.

You’ve seen us talk about Senate Bill 245 before, but now, the Michigan Senate could vote on it as early as tomorrow. Michigan law does not give consumers a way to take legal action when an insurer wrongfully denies a valid claim. This bill would change that by creating real punishments for insurers who deny or delay claims they knew or should have known were covered. Michigan is one of only 7 states in the nation without laws protecting its citizens from bad-faith insurance practices.

Senate Bill 245 comes as a new report from the American Association for Justice shows that the property and casualty insurance industry made an unprecedented $405 billion in profits over the last three years, even as it raised premiums and lobbied against stronger consumer protections. In 2025 alone, insurers made more money from underwriting than in the previous 20 years combined.

Michigan already has some of the highest auto insurance rates in the country. These bills aim to address that directly, both by cutting costs now and by reducing the cycle of claim denials and costly litigation that give insurance companies the incentive to keep fleecing policyholders of their money.

Make no mistake: passing these bills will be a fight. Insurance companies and their legal teams have deep pockets and a long history of spending heavily to block consumer protections. In fact, they have already been telling your legislators not to support this bill. That's exactly why your voice matters so much right now.

Contact your state legislators today and urge them to pass SB245 in the Senate by clicking here.

Always for your rights,

The Protect MI Families Team

First published in the Protect MI Families Newsletter on June 24th, 2026.