The Michigan Department of Insurance said businesses and consumers will save $97-million after the department required insurers to provide rebates due to the drop in claims during the pandemic.
In orders put out in June and July, the Department of Insurance notified insurers that adjustments needed to be made in payments given the “significant” drop in claims during the COVID-19 outbreak.
In a written statement a spokesperson said that “businesses and consumers should not be required to pay insurance premiums that do not reflect the changes they have made to day to day activities during the pandemic.”
It’s not clear when those credits or rebates will be made to a policyholders’ account but the order requires companies to have “detailed communication” with their customers about the changes.