P&CMImedium
If DIFS issues an order disapproving a P&C rate filing, what is the insurer's principal avenue to challenge that order?
ASubmit a new filing in another state and ignore the Michigan disapproval entirely
BAppeal directly to the U.S. Supreme Court without any lower-court review
Request a contested-case hearing under the MI APA and seek judicial review
DDemand the Governor personally reverse the order
Why this is the answer
DIFS rate disapprovals are administrative orders. An aggrieved insurer is entitled to a contested-case hearing under the Michigan Administrative Procedures Act (MCL 24.271 et seq.), with rights to present evidence and cross-examine. The Director's final decision is subject to judicial review in the Michigan circuit courts. The Governor has no statutory power to reverse the order, and federal Supreme Court review is not the direct route.
Studying for the MI Property & Casualty exam?
This question comes from our P&C bank. Take a free practice test — no signup.