Insurance: no-fault; price optimization use in determining insurance rates; prohibit. Amends secs. 2109 & 2119 of 1956 PA 218 (MCL 500.2109 & 500.2119).
Key claim: Michigan SB1013 would amend the Insurance Code to prohibit insurers from using price optimization when determining no-fault insurance rates.
Abstract
(SB1013 · 103rd Legislature) Insurance: no-fault; price optimization use in determining insurance rates; prohibit. Amends secs. 2109 & 2119 of 1956 PA 218 (MCL 500.2109 & 500.2119). Latest action (2026-07-03): Referred To Committee On Insurance
Why this matters
For Michigan drivers, prohibiting price optimization would bar insurers from setting no-fault premiums based on a customer’s individual price sensitivity or likelihood of shopping around, rather than on risk-based factors. For insurers, it narrows permitted rate-setting inputs and adds a specific algorithmic-pricing restriction on top of existing rate-fairness rules in the Insurance Code.