Government Regularion of Insurance Rates

Abstract

This report has been an attempt to provide a brief discussion of the laws and regulation that affect insurance rates. I have also sought to discuss the effects of the Essential Insurance Act on rates set by insurance companies in Michigan. Through my research I have found that the Act has had a beneficial effect on insurance rates and in the over all confidence in the insurance industry in Michigan. Section One of this report covers a brief history of insurance regulation, types of insurance rating laws, and the Essential Insurance Act of Michigan. Section Two covers my experiences and daily work at State Farm Fire & Casualty Co. as a summer intern. The WESIP project has turned out to be one of the most beneficial experiences I have had at Kalamazoo College.