Frankenmuth Insurance, as a result of our annual review of Michigan Personal Auto, announces some rule and rate changes, including a new discount, increased coverage limits and rate adjustments.

Revisions

We have introduced the following new rule:

Advance quote discount: This new discount is available when policies are quoted eight days or more prior to their effective dates. The discount is 7% and will apply automatically to policies that qualify.

The following rule revisions have been made:

• Roadside Assistance and Towing Coverage: When a policyholder chooses to use an out-of-network provider, the coverage limit increases to $100.
• Motor Home, Campers, Camping Trailer and Travel Trailer:
  • Awnings, shelters, cabanas, porches and air conditioners coverage is increased to 20% of the actual cash value of the trailer.
  • Contents coverage has increased to $2,000.
  • Vacation expense allowance coverage has increased to $100 per day.
• Physical damage additional/suspension of coverage:
  • The minimum number of days for suspension of coverage has reduced to 30 days.
• Vehicle eligibility:
  • Clarification has been added regarding off-road vehicles.

The following rate adjustments have been made:

• A full territory analysis identified areas within the state that warrant rate increases or decreases.
• Motor home and camping/travel trailer base rates increased to reflect the increase in coverage.
• Trailer amount of insurance rates have been adjusted and include reduced rates for trailers in excess of $20,000.
• Driver age factors have been adjusted and include rate relief for drivers ages 16-29 years old.
• All base rates, other than personal injury protection, have been adjusted.

Although policyholders’ individual results will vary, the overall rate impact for the auto program is neutral.

Effective Dates

Beginning immediately, the advance quote discount will be available for quoting new business effective on or after April 1, 2021. All other changes are effective April 1 for both new and renewal business.

If you have any questions, feel free to contact your personal lines field manager or underwriter.

Thank you for your partnership with Frankenmuth Insurance.