Annual Adjustment of the Fire Insurance Maximum Escrow under Section 2227 of the Michigan Insurance Code __________________________________________________

STATE OF MICHIGAN DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES Bulletin 2026-16-INS In the matter of: Annual Adjustment of the Fire Insurance Maximum Escrow under Section 2227 of the Michigan Insurance Code __________________________________________________/ Issued and entered this 2nd day of June 2026 by Anita G. Fox Director This bulletin supersedes Bulletin 2025-14-INS, dated June 4, 2025. Section 2227 of the Michigan Insurance Code, 1956 PA 218 (Code), MCL 500.2227, allows eligible municipalities participating in the fire insurance withholding program to escrow 25% of fire insurance settlements for losses to real property within its boundaries, provided certain criteria are met. Beginning July 1, 2024, under Section 2227 of the Code, as amended by PA 82 of 2024, for residential property the 25% settlement or judgment subject to escrow shall not exceed $24,000, adjusted annually on July 1 of each year in accordance with the consumer price index. Accordingly, the fire insurance maximum withholding amount, effective July 1, 2026, through June 30, 2027, is $25,090. The maximum withholding amount for recent periods are as follows: July 1, 2025, through June 30, 2026 ---- $24,096 July 1, 2024, through June 30, 2025 ---- $24,000 January 1, 2024, through June 30, 2024 ---- $15,520 January 1, 2023, through December 31, 2023 ---- $15,009 Any questions regarding this bulletin should be directed to: Department of Insurance and Financial Services Office of General Counsel 530 West Allegan Street, 7th Floor Lansing, Michigan 48933 Toll Free: (877) 999-6442 /s/ _________________________________________ Anita G. Fox Director