FOX 2 – – Michigan-born and retired NHL player Erik Reitz used to live on the ice, but now he’s found a new passion as the owner of Rockstarz Limousines.
“My new passion is obviously the fleet of limos you see behind us,” said Reitz, formerly Minnesota Wild, New York Rangers, Toronto Maple Leafs.
Auto insurance changes are burdening limousine services with a huge rate hike
Michigan-born and retired NHL player Erik Reitz used to live on the ice, but now he’s found a new passion as the owner of Rockstarz Limousines. Now he may have to move his company out of the state to expect steep rate hikes.
However, since Reitz offers transportation for weddings, proms, and other events, his transportation business encounters some obstacles with his insurance.
“Right now I’m paying about $ 110,000 a year for 10 vehicles and that will probably increase four or five times,” he said.
Reitz and his insurance company blame Michigan’s new auto insurance law for the higher rates.
“The new auto reform law had many great benefits, but one sector it hurt was companies like limo companies,” said Kurt Leuter, Leuter Insurance Group. “Insurance companies have come to Michigan and don’t want to mess with this new law because it takes the burden off limo drivers and could cost them hundreds of thousands of dollars in an accident.
“If we all drive in a limousine, everything falls under the limousine policy.”
Leuter believes the means is easy – competition.
“It would be nice if we could have competition because right now most people have to go through the state pool, which is four to five times higher than the standard market,” he said.
But the Michigan Department of Insurance and Financial Services says there is help for these business owners.
“Please contact us as we can only act in individual circumstances,” said director Anita Fox. “When these issues arise, the public needs to come to us so we can see what’s going on with these rates.”
Former NHL player Erik Reitz, President of Rockstarz Limousines
Reitz believes that if prices continue to rise, he will have to live out his passion in another place.
“It will trickle down on the customer, and if the customer doesn’t want to pay, we’ll have to sell these vehicles and move out of the state
You can find more information about these services at 833-ASK-DIFS (275-3437) or by email AutoInsurance@michigan.gov