When it comes to Michigan auto insurance coverage, the residents of Michigan are well aware with the fact that it is no-fault state. In Michigan selecting the right auto insurance to meet your needs usually requires purchasing much more then just the basic Michigan minimum requirements to remain legal. There is a law at Michigan which deals with compensating medical expenses, lost wages and getting the vehicle repaired called the no-fault law which is very quick.
Michigan auto insurance law requires you to carry the minimum Bodily Injury Liability limits of 20/40/10. This means you have coverage for $20,000 per injured person up to a total $40,000 per accident. This also comes with property damage liability of $10,000. Property damage is automatically increased and a coverage up to 1 million dollars is given in the state of Michigan.
Michigan auto insurance policy includes PIP coverage as well. This covers personnel injury for all reasonable medical costs, wage loss for the driver and passengers if any. Some people won be able to go to work and also clean their house so it takes care of the wage loss also.
Collision coverage is an optional coverage that will reimburse for damages to the actual vehicle in the event of an accident. It is of three types. Broad form of collision is the first form. With broad form collision you only pay the deductible if you are more then 50% at fault in the accident. This is considered the better option out of the three. The next is basic, or standard collision. With this coverage you have to pay the deductible no matter who is at fault. It still provides excellent coverage, you just carry some of the risk no matter what. The last coverage is limited collision. This coverage only provides reimbursement if you are less than 50% at fault in the accident. If the fault by you is 51% then you wouldn’t have any physical damage coverage.
Other coverage’s provided from the coverage’s described are comprehensive coverage, uninsured or underinsured coverage . This is always good to talk to your insurance professional to get a policy that meets your specific needs.
As you can see, there are various kinds of coverage for the different purposes when it comes to Michigan auto insurance. In the end you have to go with what meets your needs best. You will get expensive insurance bills if you start purchasing more coverage's and putting yourself into less risks. In the long run this is not a bad idea. Paying a little more now for excellent coverage can save thousands in the long run when you need it. On the other hand, insuring a vehicle that is worth a few hundred dollars with all the extras might just be a waste of money. Getting quotes online from multiple carriers is one huge way to lower those bills too.