According to Michigan’s Department of State, “owners of passenger vehicles, vans, and light trucks must purchase Michigan no-fault insurance before registering their vehicle.” This no-fault insurance must include the following coverages:
- Bodily Injury/Property Damage Liability
- Pays defense costs
- Personal Injury Protection
- pays all associated medical costs if you incur an auto-related injury
- pays three year worth of lost wages
- if you qualify, you may be paid an additional 20 dollars per day in replacement services (housekeeping, etc.)
- Property Protection Insurance
- Pays up to one million for damaged property (buildings, outhouses, etc.) and parked cars caused by your car
- The no-fault coverage doesn’t pay for other vehicle damage
In April of this year, Michigan’s Governor Rick Snyder proposed several changes to the state’s current car insurance requirements. The provisions are intended to lower the cost of Michigan drivers’ auto insurance bills. However, arguments are being sparked between political parties, as the new provision would eliminate “Michigan Catastrophic Claims Association and the unlimited lifetime medical coverage it provides for people seriously injured in auto accidents.”
Snyder’s provisions include the following:
- Capping personal injury coverage protection at one million dollars
- Snyder states that this is still nearly 20times higher than other states
- Current victims covered by the Michigan Catastrophic Claims would not be affected
- This provision would apply to new seriously injured motorists
- Drivers would be required to spend additional 25 dollar charge per year to help fund Medicaid.
- This provision is a result of the high cost of Michigan’s requirement for unlimited medical coverage.
- Creating an insurance fraud-prevention fund
- Both hospitals and health provides will be unable to charge insurance companies more for injuries incurred by an auto related accident
For more information, please visit Michigan’s Official Web Site
Nobody covers the Bloomfield area (or just about anywhere in Southeast Michigan) for auto insurance like we do at Capital Insurance. We specialize in helping our clients cover personal automobiles against unforeseen damages and injuries. As independent agents, we can shop with dozens of insurers licensed to set you up with the most affordable rates and most appropriate coverages.
Call for Quote 888 296 0418