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Michigan Auto Insurance Information

Under Michigan law, motorists must carry a minimum of $20,000 per person and $40,000 per accident in Bodily Injury Liability (BIL) insurance, as well as at least $10,000 in Property Damage Liability (PDL) coverage. BIL insurance pays for the medical and other accident-related expenses of those injured by the actions of the at-fault driver, up to the coverage limits. PDL pays for repairs to the other driver’s vehicle and related property damage, up to the coverage limits. Neither BIL nor PDL pays for any accident-related expenses of the at-fault driver.

Michigan also requires drivers to carry a maximum of $1 million in Property Protection Insurance (PPI). This insurance does not cover damage to other vehicles involved in the collision, with the exception of striking a correctly parked car, but does pay for damage to property such as buildings and fences.

While Michigan does not require drivers to purchase uninsured or underinsured motorist insurance, the purchase of such coverage is wise. Collisions with uninsured or underinsured motorists are relatively common.

Keep in mind that this is the minimum amount of auto insurance required by law, and most drivers should purchase additional insurance to protect their personal assets in case of a serious accident.

While the state does not require collision and comprehensive insurance, lenders will almost certainly mandate such coverage for leased and financed vehicles. Even if the car is owned outright, drivers should consider obtaining collision and comprehensive coverage if they cannot afford to replace the vehicle if it is totaled in an accident.

SR-22 Insurance in Michigan

Drivers whose licenses are revoked or suspended for DUIs or other serious traffic offenses, including driving without insurance, must have their insurance company file an SR-22 Form, certificate of financial responsibility, with the Michigan Department of State prior to license restoration. In most situations, SR-22 filings are required for at least three years.

Michigan Driver Statistics

Almost 10 million people call The Wolverine State home, and approximately 7.2 million of them hold drivers’ licenses. Michigan was admitted to the Union as the 26th state in 1837. Ranking 11th in size, it comes in at tenth in population. About 50 percent of Michigan residents live in the metropolitan Detroit region in the southeast part of the state.

While Michigan and automobile production are virtually synonymous, the state’s economy relies heavily on various types of manufacturing, as well as agribusiness, aerospace, cybersecurity and other technology, and tourism. Michigan’s Upper Peninsula is renowned for its outdoor recreational opportunities.

Michigan Auto Insurance & Accident Facts

In 2018, 974 people lost their lives on Michigan roadways, in a total of 905 fatal crashes. Of those killed, 121 were pedestrians, 134 were motorcyclists and 12 were bicyclists. Alcohol played a role in about one-third of fatalities. Nearly 76,000 people were injured in Michigan motor vehicle accidents in 2018.