Insurance: property and casualty; insurance withholding amount for fire-damaged homes; increase, and allow for abandoned funds to be used for repairs. Amends sec. 2227 of 1956 PA 218 (MCL 500.2227).

This bill updates Michigan's law regarding how much money insurance companies must set aside from fire and storm damage claims for residential homes. It increases the maximum amount of withheld funds that local governments can hold in escrow to ensure repairs are made, raising the cap from $12,000 to $24,000 starting July 1, 2024. The legislation also clarifies the notification process, requiring insurers to inform homeowners, lenders, and local officials about these withheld funds and the option for municipalities to secure the money for public safety repairs.