Insurance: no-fault; penalties for lapse of insurance policy; provide waiver for certain individuals. Amends secs. 2118 & 2120 of 1956 PA 218 (MCL 500.2118 & 500.2120) & adds sec. 2116c.

This bill creates a waiver allowing individuals recently released from prison to obtain automobile insurance without penalty for a lapse in coverage during their incarceration. It requires applicants to provide a certified statement confirming they were in a correctional facility and released within the last six months to qualify for this exception. By adding this provision to existing underwriting rules, the legislation prevents insurers from refusing coverage, limiting options, or charging higher premiums solely based on the failure to maintain insurance while the person was imprisoned.