LANSING, Mich. — State Sen. Jonathan Lindsey this week introduced Senate Bill 1208, which would allow Medicare-eligible seniors to keep their coverage options instead of having to repeat the same Personal Injury Protection (PIP) medical opt-out every time they renew their auto policy.

“Medicare coverage does not expire every six months, and neither should a senior’s insurance choice,” said Lindsey, R-Coldwater. “Once a qualified driver has selected lower PIP coverage as their coverage level, they should not have to fill out the same forms at every renewal just to keep the coverage level they already chose.”

Under current law and Department of Insurance and Financial Services guidance, if a driver fails to select lower PIP coverage at renewal, they default to the unlimited coverage level. This results in a higher premium that the driver did not choose.

“If a form is missed, drivers can be pushed back onto coverage they did not want and a higher bill they did not ask for,” Lindsey said. “That is paperwork, not protection.”

Lindsey’s legislation would allow a coverage decision to remain in effect for Michigan seniors for as long as the insured customer stays with the same insurer or an affiliate of that insurer, unless the insured notifies the insurer in writing that the election is revoked or that they would like to select a different option.

The bill does not change who may opt out, and current eligibility rules stay in place:

• The insured must still be enrolled in Medicare Parts A and B.
• A spouse and resident relatives must still have qualified health coverage or their own PIP coverage.
• If qualified health coverage ends midterm, the insured still has 30 days to obtain PIP medical coverage.
• A driver who switches to a new insurance company must make a fresh election with that company.

“This bill does not leave anyone without a safety net. It simply lets a one-time choice stay in place with the same insurer until the driver says otherwise,” Lindsey said. “Qualified seniors already made their choice on coverage; they should get to keep it.”

###