By DeJanay Booth

(CBS Detroit) — Detroit Mayor Mike Duggan is encouraging residents to sign up for auto insurance before the amnesty period expires on Jan. 1, 2022.

Michigan’s auto no-fault reform provides amnesty to previously insured drivers, meaning they could obtain insurance without penalty or increased premiums.

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“The single biggest reason for passing this legislation was for those folks of moderate-to-low income who were driving uninsured and were at risk every day,” Duggan said during a press conference.

According to a report from The Detroit News, the legislation went into effect in July 2020.

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After Dec. 31, uninsured drivers risk facing higher rates penalties if they get into a vehicle crash.

“If you wait and get in an accident, you could put your family, your finances, your health at risk for not having coverage in an accident. So we want all Detroiters to know, all Michiganders to know – that this is an important deadline,” said Anita Fox, director of Michigan’s Department of Insurance and Financial Services (DIFS).

Click here to view Tuesday’s press conference on Facebook.

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