Auto Coverage in Michigan
Michigan Auto Insurance
Drivers in Michigan not only need to carry liability coverage for their cars, but need to keep their proof of insurance with them while driving, because if they are pulled over by a traffic officer, they can be asked to show their proof of insurance. Officers can't pull drivers over just to ask for this proof, but if pulled over for any other reason or involved in an accident, drivers will need to have this proof. If a driver can't show that they have insured their vehicle, the penalty is very strict – they can even be arrested and face fines along with a jail sentence.
Minimum Michigan auto insurance
Michigan State requires drivers to have a minimum amount of auto insurance, which is lower than in many other states, so many drivers may want to buy more coverage than these minimums to make sure their costs are covered in an accident:
- Bodily Injury and Death: $20,000 to cover one person in any one accident, and $40,000 to cover all injuries
- Property Damages: $10,000
Since Michigan is also a no-fault state, drivers need to be able to cover their own costs for damages and medical bills in an accident. It's recommended for drivers to buy personal injury protection that would pay for medical losses, missed work time, and other costs they can incur if they're in an accident – even if another driver causes the accident, each driver in Michigan will be responsible for themselves.
Penalties without Michigan auto insurance
Drivers who are in an accident, but don't have the proper insurance, can be sued for damages for negligent operation of a motor vehicle, and the Department of State is required to suspend the license and registration for a driver who has failed to have proper insurance or cover the costs in an accident.
Drivers who don't have proof of insurance in Michigan State face hefty penalties that you'll want to avoid – including a fine of up to $1,000, or even a prison sentence of up to a year.