Insurance: other; underwriting transparency; provide for. Amends 1956 PA 218 (MLC 500.100 - 500.8302) by adding sec. 2229.

This bill requires insurance companies in Michigan to provide clear written notices to customers when making significant changes to their automobile or homeowners policies, such as cancellations, non-renewals, or premium increases of more than 10%. If a policyholder requests details, the insurer must explain the specific principal factors behind the decision rather than using vague terms like "poor loss history" or simply citing internal models. The law also mandates that these notices and explanations be sent directly to the insured and, when applicable, to independent insurance agents who represent the customer. These transparency requirements will apply to policies issued, amended, or renewed on or after January 1, 2026, and do not replace existing rules regarding policy cancellations.