HB 4354 Summary

• Replaces the Insurance Commissioner with the Director of the Department of Treasury in oversight of the Catastrophic Claims Association, including board appointments, premium approval, and regulatory authority.

• Expands the board from 5 to 6 directors and changes the Director of the Department of Treasury from an ex officio non-voting member to a voting member; requires appointment of one public member to the board within 3 months.

• Subjects the board to the Open Meetings Act (1976 PA 267) and Freedom of Information Act (1976 PA 442) regarding board records and official writings prepared in performance of official functions.

• Requires an independent certified public accountant appointed by the Director of the Department of Treasury to annually audit the association and deliver results to the director and legislative standing committees on insurance.

• Updates personal protection insurance liability thresholds, adding new brackets for policies issued or renewed July 1, 2013 to June 30, 2015 ($530,000) and July 1, 2015 to June 30, 2017 ($545,000), with biennial adjustments beginning July 1, 2017 based on the lesser of 6% or consumer price index.