Michigan Car Insurance Requirements, Laws, and Quotes

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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 suggests 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 due to 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 cannot work because of your injuries. It is something you must discuss with your provider.

Property Protection

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 in which someone is seriously injured or killed
  • The other person involved is not a resident of Michigan and drove an out-of-state registered car
  • You were involved in a car accident out of the state of Michigan
  • You are at fault and caused 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 to 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 the 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 to 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 you 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 an 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 is 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