Mich. Senate Passes Bill With Approval From Auto Insurance Co.

LOS ANGELES, Dec. 7, 2010 /PRNewswire/ -- The Michigan Senate last week passed a bill that, if signed into law, would fortify the state's graduated licensing system. The change could potentially help improve the track record of one of the state's high-risk car insurance groups — teenage drivers. OnlineAutoInsurance.com recognizes that it can be tough to find affordable coverage in Michigan, and especially for the youngest of motorists. Until the high crash and price trends subside, consumers are advised to conduct a thorough auto insurance comparison with multiple providers to ensure that they are getting optimal pricing.  

If Michigan Gov. Jennifer Granholm signs the bill into law, teenage drivers would face stricter limitations on how late they could drive and the circumstances in which they could carry non-family passengers under the age of 21.

Michigan law currently has a midnight curfew for new drivers who are in certain stages of the graduated licensing process, but under the provisions of the bill, the cutoff would be moved up to 10 p.m. In addition, beginning drivers would be prohibited from carrying more than one non-family passenger who is under 21 unless going to or from school or a school-sanctioned function.

The changes would bring Michigan's graduated licensing system closer in line with similar proposals currently sitting in Congress. A piece of federal legislation — called the Stand Up Act — would spur states to institute provisions like the under-21 passenger restriction. It is noted by the bill's authors that, according to the Insurance Institute for Highway Safety, a 16- or 17-year-old's chances of getting into an accident are doubled when two peers are in the vehicle and quadruples with the presence of three or more peers.

Source: http://thomas.loc.gov/cgi-bin/query/z?c111:H.R.1895.IH:

Provisions of the Stand Up Act, however, include many further restrictions that have yet to be formally proposed to the Michigan Legislature.

For instance, in a press release that applauded legislators for passing the bill, insurance provider AAA pointed out that a key provision that would have restricted cell phone use by 16-year-olds was cut before the House voted on the measure.

Readers who are interested in learning more about obtaining and evaluating car insurance quotes can go to http://www.onlineautoinsurance.com/ where visitors will find informative articles and a free-to-use rate-comparison generator.

SOURCE Online Auto Insurance, LLC

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