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Dianda dishonest on several issues

To the editor:

I am writing in response to the recent letter published by state Rep. Scott Dianda regarding auto insurance.

Dianda claims the bill he voted against, HB 5013, was a terrible bill “written for the insurance companies,” and a “political gimmick.” I don’t think that he could be further from the truth.

While not perfect, HB 5013 offered real savings to Michigan drivers. The largest component of the bill was introducing choice in the auto insurance marketplace. Rather than being forced to buy unlimited personal injury protection(PIP) coverage, it would be possible for drivers to purchase unlimited, $500,000, or $250,000 PIP coverage (http://legislature.mi.gov).

HB 5013 also mandated that those who stuck with the unlimited coverage would see a 10 percent cut in their costs, drivers choosing $500,000 would see a 20 percent cut, and those choosing $250,000 would see a whopping 40 percent cut in their auto insurance payment.

These are concrete savings! In fact, because the reductions in costs would have been required, the auto insurance industry did NOT support the bill like Dianda claimed.

Dianda also mentions how he would like to cut costs for seniors. Well, HB5013, the bill he voted against, did just that. It allowed seniors with existing medical coverage (Medicare or private insurance plans) to opt out of PIP when purchasing auto insurance.

That is an enormous savings for seniors, since PIP is the most expensive component of auto insurance.

Mr. Dianda goes on to say how he supports cracking down on fraud. The ironic part is that he supports a bill package that states, “The submission of a claim for PIP insurance benefits that was in some respect fraudulent does not void the insurance policy” (HB 5106 SEC. 3113B). How on earth can Michigan “crack down on fraud” when fraudulent claims, by law, can remain?

In closing, I believe that Dianda is being very dishonest on this issue. Rather than continuing to defend his vote by misleading the public, he should admit he made a mistake when he voted NO to reform the highest-in-the-nation auto insurance rates and save hardworking U.P. drivers, including our seniors, some 40 percent a year on their car insurance.

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