Michigan Car Insurance Requirements, Laws, and Quotes
The Michigan Secretary of State oversees the Department of Motor Vehicles. So, if you own a car in Michigan, you must contact the SOS to the title and register your vehicle. As required by law, all motor vehicles must have insurance. If caught without, the SOS will suspend the operator’s license. The Michigan SOS suggest all cars must have insurance the minimum coverage.
Michigan Car Insurance
Michigan SOS requires all cars to have no-fault car insurance. No-fault insurance covers injuries and damages caused by a car accident regardless of who is at fault. The coverage includes:
- Personal injury protection
- Property protection
- Residual bodily injury and property damage liability insurance
Personal Injury Protection
Personal injury protection will cover your medical expenses as a result of a car accident. The option to link your health insurance with your personal injury protection insurance is available to you. If it was done, your health insurance might cover a portion of your medical bill, and the personal injury protection insurance will cover the remainder.
Also, your injury protection insurance may cover your lost income if you are unable to work because of your injuries. It is something you must discuss with your provider.
Property protection will cover buildings and other properties damaged because of the accident. For example, parked cars or buildings are included but not the other vehicle involved in the accident.
Residual Bodily Injury and Property Damage Liability
This insurance is to protect you from being sued as a result of the accident. However, the insurance will prevent a lawsuit if:
- You cause an accident which someone was seriously injured or killed
- The other person involved is not a resident of Michigan and drove an out of state registered car
- You involved in a car accident out the state of Michigan
- You are at fault and cause uninsured damages to another car
Residual Bodily Injury and Property Damage Liability insurance will cover your defense cost and pays for damages and injuries but up to your policy’s coverage.
Michigan requires you have a minimum coverage of this insurance that must include:
- $20,000 for injuries or death
- $40,000 for injuries or death per accident to multiple people
- $10,000 for property damage in another state
More Michigan Car Insurance Coverages
The are other Michigan car insurance options available to drivers. The no-fault car insurance will cover damages caused by collisions only and to the vehicle involved and not your car. However, other insurance, like collision insurance, will cover damages to your car; as a result, an accident. You may also purchase insurance to cover damages caused by other factors.
Michigan Collison Car Insurance
Car insurance companies offer three types of collision insurance. The three types are:
- Limited Collision Coverage
- If you are partially at fault of the accident, your provider will pay for repairs after you pay your deductible
- If you are at fault, you must pay to repair any damages on your car
- Standard Collision Coverage
- Your provider will cover repair damages after you pay your deductible
- Broad Form Collison Coverage
- If you are not at fault, your provider will pay for your repairs and do not need to pay any deductible
- If you are at fault, your provider will pay for your repairs
Michigan Comprehensive Car Insurance
Comprehensive coverage will cover repairs from damages caused by accidents with animals or storms.
Michigan Uninsured/Underinsured Driver Insurance
Uninsured/underinsured insurance will cover damages caused by accident with an uninsured or underinsured driver.
Michigan Towing and Labor Insurance
In a case where your car must be towed, towing and labor insurance will cover the cost. So, if you are on a road trip and your car was towed to a garage, your towing and labor cost are covered.
Michigan Rental Car Insurance
In the process of getting your car towed away and you must continue your journey, you will have rental insurance. Also, if you prefer to take a road trip and rent a car, you will have rental coverage.
Michigan Car Insurance Violation Fines and Penalties
If you are caught driving without insurance in Michigan, you will be convicted of a misdemeanor and face the following penalties:
- $200 – $500 fine and up to one year in jail
- 30-day driver’s license suspension