COLDWATER, MI (WTVB) – The 2019 Michigan auto insurance reform law is being blamed by the Hope Network in its recent announcement that it is closing its Coldwater location.
The program has issued a 30-day notice to clients advising them of the need to find alternative living arrangements.
The auto insurance reform law reduces insurance reimbursement rates to facilities serving auto injury patients by 45 percent. Ten of the 12 long-term residents of the Coldwater home are car crash survivors.
Hope Network Executive Vice President Margaret Kroese says, “We are devastated that it has come to this. Many of our residents and staff have been with us for a decade or more. They are like family. Unfortunately, a small program like Coldwater cannot absorb such a large funding decrease and still maintain the level of quality our clients deserve and need to survive. We will be doing everything we can to help them find alternative options that can meet their complex needs.”
Hope Network is also encouraging its Coldwater clients and families to work with their insurance adjusters and the case managers assigned by their insurance companies.
In addition to housing 12 people, Hope Network’s Coldwater facility employs 32 individuals.
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