Car Insurance Legislation in Michigan

The law for auto insurance in Michigan has been noted as some of the greatest medical coverage available. The law also generally requires all of the insurance providers to cover the medical expenses.

Vehicle insurance laws provide guidelines for customers that are interested in purchasing insurance plans, as well as insurance providers that must alter their customers’ policies to fit to the coverage minimums of the state. This law also generally creates tougher penalties for drivers who choose to operate their vehicles without proper coverage.

Michigan is a no fault state, which means that when a collision occurs, blame is not usually given to either party. Each of the insurance providers is responsible for handling the costs of their policyholder and passengers.

Each car owner in Michigan is usually required to obtain Michigan auto insurance. The lowest requirements usually include a policy that contains PIP coverage, up to $1 million in property protection, as well as at least $20,000 for residual bodily injury, and liability for property damage. Drivers are usually made to keep documentation to prove that they are currently insured.

If you drive without insurance or let someone drive your vehicle without proper insurance is a misdemeanor. This crime is punishable with a $500 fine, 30 days license suspension, as well as a year in jail. You may also be held liable for damages, and sued for everything that incurred in the result of a collision.