Michigan Auto Insurance

When you are looking for Michigan auto insurance you need to make sure that you understand the laws regarding this essential protection.  Michigan laws pertaining to auto insurance coverage are rather strict.  If you do not abide by them you could end up with legal trouble and fines.

To ensure that you obey all Michigan auto insurance coverage laws, here's a run down on the most common and essential ones.

Basic Michigan Auto Insurance Coverage Requirements

The basic auto insurance coverage laws in Michigan require both no-fault insurance and standard liability coverage.  Two no-fault coverages are required to add additional coverage within the state of Michigan.  The standard liability coverage will protect drivers outside of Michigan and when the no-fault coverage is exceeded.

The standard liability coverage required for Michigan drivers is $20,000 per person and $40,000 per accident with $10,000 property damage coverage. You'll also see this referred to as 20/40/10. The two no fault coverages required are personal injury protection (PIP) and property protection insurance.

Personal injury protection will cover all medical expenses and provide up to three years of compensation for lost wages.  In some cases personal injury protection can be coordinated with existing health insurance coverage to help reduce costs of coverage.

Property protection insurance covers property damage up to one million dollars.  This coverage is only for accidents occurring within the state of Michigan.

Optional Michigan Car Insurance Coverage

Other coverage available in Michigan is optional.  You can add:

• Collision insurance which offers you and your vehicle coverage should you be in an accident.
• Uninsured/underinsured motorists coverage to help protect you against drivers who do not have or do not have adequate insurance coverage.

These types of coverage are not required under state law and are completely optional.

Finding Affordable Michigan Car Insurance Rates

With the strict requirements on auto insurance coverage and the strict traffic laws in the state of Michigan, premiums are some of the highest in the country.  Cost is not an excuse, though, for not having proper insurance coverage. That is why it is important to ensure that you have adequate coverage at affordable rates.

Auto insurance requires that you pay a total cost for your coverage, called a premium.  You usually get options in how you would like to pay your premium.  You can pay a monthly fee, pay the whole premium at once or make payments at scheduled times, such as every three months.

In addition to your premium, if you get into an accident or need to file a claim on your insurance you will have to pay a deductible.  A deductible is your out of pocket cost before the insurance company will pay anything.  Deductibles usually run between $250 and $500.  You get to choose the deductible you would like.

When choosing your deductible it is important to keep in mind that your deductible choice will affect your premium cost.  A higher deductible will lower your premium where as a lower deductible will raise your premium.  However, you also need to consider the fact that this is the amount you must pay if you file claim.  It should be affordable for you and work for your situation.

Besides the deductible the insurance company will use other factors to decide the cost of your premium.  Certain factors like state laws and the area in which you live are things you have no control over.  Other factors are more under your control.  The following is a list of things that will be considered when an insurance company is setting your premium:

• The make, model and year of your vehicle
• Your credit record
• Your employment history
• Your age and gender
• The number of years you have been driving
• Your driving record

Another thing that insurance companies will check is to see if you qualify for special discounts.  Often you can discounts for the following situations:

• Being a good student or having a good student on your policy
• Being over a certain age
• Having more than one vehicle on the policy
• Having more than one driver on the policy
• Having more than one policy with the company

You may be able to affect your premium by making certain choices as to your coverage as well.  Basic coverage costs less than full coverage, which includes collision coverage.  Optional benefits like towing, rental car replacement and road side assistance are also all optional benefits that add to the cost of your insurance premium.

Make sure that you read your policy carefully and ask about anything that adds cost.  You should make sure you have adequate coverage, but that you are not getting anything that you do not need.  Also do not be afraid to ask for discounts or get an explanation of why your premium cost is set at what it is.

No matter what factors you have going for or against you there is one thing you can do to help ensure you get the best insurance rates.  You should use the quote tool on this page to help you shop around for different insurance policy quotes.

Compare Michigan Auto Insurance Quotes Online

Our quote tool will allow you to get multiple quotes from one simple form.  Enter your information above, and our quote tool will help you get quotes you can compare so you can get the best price on MI auto insurance, today. Get started now!