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Two-thirds of Michigan drivers still haven’t got their $400 insurance refund

Michigan auto insurers should expect a $400 per-vehicle refund no later than May 9, 2022, the Whitmer administration said. (Ayman Haykal /

May 19: Michigan Republicans OK $2.7B tax cut. Whitmer wants a $500 rebate.

LANSING — More than two-thirds of eligible insured Michigan drivers still have not received their $400 refund as the May 9 deadline approaches.

Officials confirmed the delays Thursday during a media conference by the Michigan Department of Insurance and Financial Services that announced that $906 million of the $3 billion owed by auto insurers has been returned to drivers.



The refunds are part of 2019 auto insurance reforms — negotiated between Democratic Gov. Gretchen Whitmer and the Republican-led Legislature — that to cut what had been the highest rates in the nation by ending mandatory lifetime coverage for auto crash victims and creating new fee limits for medical treatment. 

Anita Fox, director of the state insurance office, said auto insurers must refund the $400 through a check or direct deposit — rather than applying it to customers as a credit.

Fox said she’s confident insurers will issue the refunds before their deadline. 

“(The refund) process is huge,” Fox said. “There are 7.1 million drivers and (the state) doesn’t keep that information as per vehicle, your insurance company does. It takes a while to get the process set up and transfer billions of dollars.”

The process has been less than smooth for many, including Ron McDonagh, 62, of Burt. 

He said he hasn’t received his check, and was informed by his insurer the $400 refund would be applied toward his upcoming policy premium which renews on April 28, in apparent conflict with the rules.

“I’m low-income and I need the money to get a colonoscopy because I have diverticulitis,” McDonagh said. “I owe (the hospital) $100 and they won’t schedule the operation until I pay it. So I could really use that $400 to take care of my medical needs.”

Fox urged eligible drivers like McDonagh who are encountering similar problems to contact the state at 833-ASK-DIFS.

Michigan has tried to keep the refund process as simple as possible, Fox said. 

“This is their money that they paid into this fund,” Fox said, referring to motorists. “You shouldn’t have to fill anything out. You shouldn’t have to take it as a credit. It’s your money that ought to be returned and we know that’s important especially coming out of a pandemic.”

Fox also warned drivers to beware of potential fraud, such as scammers calling consumers to get private information. 


“Every time there is money, there are scammers,” Fox said. “We have heard from the Attorney General’s Office that as soon as (the refunds were) announced, there were people who were contacted by scammers asking for information. It’s important that people don’t give out personal information.”

Anyone who had a vehicle, motorcycle or RV that was insured by a policy that allows them to operate in Michigan as of October 31, 2021, is eligible for refunds. 

Eligible drivers who have not received their refunds should contact their insurers, who may only give the money back through a check or direct deposit.

Consumers may contact DIFS if they don’t receive their refunds or cannot reach a resolution with their insurers.

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