MI HB5380

Eliminates outdated racial terminology from Michigan's insurance code by removing references to "white persons" and "colored persons" and replacing with neutral language referencing "individuals based on race or color."

Prohibits life insurers from making distinctions or discrimination between individuals based on race or color in premiums, rates, rebates, diminutions, or discounts on life insurance policies.

Voids any policy conditions or stipulations that would require insured individuals to accept less than the full policy value based on race or color in case of death claims.

Increases civil penalty for insurers violating these provisions from $500 to $10,000 per violation, recoverable by the state attorney general.

Increases criminal penalties for officers or agents violating the section to up to 1 year imprisonment and/or fines between $500 and $10,000, up from the previous $50 to $500 range.