JSMedia – As of July 2, 2020, Michigan’s new auto insurance law goes into effect. The new law will allow drivers to choose between six options for Personal Injury Protection (PIP). PIP coverage must be underwritten by an affiliate of the Auto Club Group, MemberSelect, or the state insurance department. The remaining two options, the minimum amount and maximum amount of coverage, will be determined by the state insurance department.
The new Michigan law will change the way people in Michigan pay for their auto insurance. The law increases fines for not insuring a car and enables drivers to opt out of the system if they wish. The state will also increase the amount that can be recovered in small claims court if someone is injured in a crash. These new changes will affect every driver and company in the state, so it’s imperative that everyone understands the rules.
The new Michigan auto insurance law is a bipartisan effort to reform the state’s auto insurance policy. In a survey of drivers in the state, it was found that 64.3% of those surveyed were aware of the new law and will likely shop for car insurance when it takes effect. Only 12.8% of drivers reported dissatisfaction with the changes made by state lawmakers. A majority of drivers were neutral about the changes.
Michigan’s New Auto Insurance Law Takes Effect on July 2, 2020
The new law removes the legal requirement that all car owners purchase unlimited medical coverage. Instead, it requires a limited amount of Personal Injury Protection (PIP) coverage. The new law requires motorists to pay an annual fee into a state-run fund for the catastrophic injury fund. The funds are aimed at paying for the long-term care of seriously injured drivers and passengers. The new law also removes the requirement for drivers to buy lifetime medical coverage.
As of July 2, 2020, the minimum amount of auto insurance coverage is increasing. Individuals can buy policies with lower minimums and get higher coverage. Buying a policy with a high minimum may be too expensive for most people. Fortunately, there is a new auto insurance law that limits the amount of coverage that you need to avoid overpaying for car insurance. The new law also protects you against drivers who do not have enough insurance.
The new law requires all drivers to purchase PIP insurance, and a policy with this type of coverage is essential. This will provide them with the protections and benefits that they need. But the new law will change the way you pay for auto insurance. If you are involved in a car accident, your PIP must be up to the limit. In case of an accident, you can make a claim on your own auto insurance.
After July 2, 2020, the minimum amount of coverage required by Michigan’s auto insurance law will increase. This is because drivers who injure themselves or others will be responsible for the cost of their own medical care. The minimum amount required for uninsured motorist coverage will be increased, but the law does not mandate any minimum amount. Insured motorists can opt for higher limits to protect themselves from uninsured drivers.
The new auto insurance law also requires all drivers to carry PIP, property, and residual liability insurance. If you get into an accident, the PIP will pay for the medical costs. In addition to this, the PIP will help you pay for medical expenses. The new law also requires you to carry personal injury protection and property damage protection. This is a significant reduction in the cost of insurance. Aside from the lower premiums, Michigan’s new auto insurance law makes it easier to afford the coverage you need.
The new law requires that all drivers carry at least one kind of liability insurance, such as property damage protection. The state’s new law also prohibits companies from using factors other than driving record when determining your rate. If you do not have any of these coverages, you can opt for the minimum amount by contacting your health insurance provider. The new insurance law is a great step toward lower car insurance premiums.