HB 4946 Summary

• Creates the Michigan Automobile Insurance Fraud Authority within the Michigan Automobile Insurance Placement Facility to reduce insurance fraud and automobile thefts, with a 15-member board including insurers, law enforcement, prosecutors, and public representatives.

• Authority operates through December 31, 2020 and dissolves on January 1, 2021; board members serve staggered 2-4 year terms with insurer members elected by authorized insurers and other members appointed by the governor.

• Authorizes insurers and self-insurers to voluntarily pay money to the facility for the authority's operations (funded from non-premium sources only) to support law enforcement and prosecutorial programs designed to reduce automobile insurance fraud.

• Requires insurers authorized to write automobile insurance in Michigan to report fraud data to the authority as a condition of maintaining their authority to transact insurance in the state.

• Requires the authority to prepare annual financial reports and submit annual reports to the legislature detailing fraud statistics, prevention program summaries, and cost savings resulting from anti-fraud efforts, effective January 1, 2016.