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How will Obamacare affect No Fault insurance rates?

Michigan Auto Law attorney Bobby Raitt weighs in with The Detroit News

Debate is heating up over how Michigan residents who are newly insured under the Affordable Care Act (also called Obamacare) may affect No Fault auto insurance rates. Michigan Auto Law partner Bobby Raitt was interviewed as an attorney expert in The Detroit News on the complicated insurance issue.

He noted that he’s concerned about a provision of Michigan’s No Fault law, which assigns insurers no responsibility to pay for expenses covered by other benefits provided or required by state or federal law. This is known as a “setoff” for insurance companies, and it has previously applied in cases where Social Security or workers’ compensation is providing benefits.

But Bobby predicted auto insurers are about to set off benefits to health care law-provided insurance:

“They’re basically just going to shift hundreds of millions of dollars in costs from what would have been the insurance company’s responsibility to the health insurance,” he said.

You can read the full article in The Detroit News here: Health law raises auto insurance concerns in Michigan

July 5, 2014

Related information:

Is the Affordable Care Act going to kill Michigan’s No Fault laws?

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