The action was announced Tuesday by Michigan’s Department of Insurance and Financial Services (DIFS) and Democratic Governor Gretchen Whitmer, who called on the agency last month to funnel the extra money back to Michigan drivers.

“I will always work to put money back into Michiganders’ pockets,” Whitmer said in a tweet. “I’m proud to announce that we will be issuing $400 refunds per vehicle to Michigan drivers.”

The MCCA is a nonprofit organization that was created by the Michigan Legislature in 1978. Controlled by the insurance industry, it oversees a fund meant to pay for catastrophic care by refunding insurers for medical and other costs resulting from serious crashes, the Detroit Free Press reported.

Drivers are anticipated to receive the refund checks, which will total $3 billion, in the second quarter of 2022, according to Whitmer.

“We are working together to put Michigan drivers first, and I am directing DIFS to ensure that the MCCA and Michigan’s auto insurance companies accurately, fairly, and promptly issue these refunds,” Whitmer said in a news release.

Any drivers eligible for the refunds aren’t required to take any action in order to receive the checks, WILX 10 reported. The MCCA is required to turn the money over by early March next year to insurance companies, who will then be charged with sending out the checks to qualified individuals.

Lieutenant Governor Garlin Gilchrist also applauded the forthcoming refunds, saying that the extra money belongs back in the pockets of Michigan drivers.

“These refunds are a major win for all drivers—especially Detroiters—who have paid the highest insurance rates in the nation for decades. There is still work to be done, and Governor Whitmer and I will continue to take action in the best interest of Michigan drivers,” Gilchrist said.

Whitmer and state regulators announced the dollar amount Tuesday, more than a month after she had requested the checks by citing a multibillion-dollar surplus in the Michigan Catastrophic Care Association fund.

“Michiganders have paid into the catastrophic care fund for decades, and I am pleased that the MCCA developed this plan so quickly after unanimously approving my request to return surplus funds to the pockets of Michiganders,” the governor said in the statement.

The Associated Press contributed to this report.