Residents of Michigan pay substantially more for their automobile insurance than people in almost any other state. That is because the Michigan insurance laws mandate that all drivers carry no-fault insurance.
Your policy provides you with direct coverage regardless of whether you caused the crash. The other person's policy typically covers their expenses. No-fault coverage in Michigan also extends substantially more protection than standard motor vehicle insurance policies in many other states.
As with so many things in life, you get what you pay for. The premium Michiganders pay for their no-fault coverage means that they should receive that much more protection in the event of a crash that leaves them with debilitating physical injuries.
Don't just assume you can trust the insurance company
Because you are a responsible adult, you pay your insurance and do your best to drive safely. If you get into a crash, you likely expect that your insurance company will take care of you. After all, most of the big companies love to advertise themselves as friendly neighbors ready to protect you when the unexpected happens.
In reality, because of the potential for extreme financial liability in a crash with serious injuries, Michigan insurance companies can be quite aggressive in their negotiation tactics for a settlement or claim.
The insurance company hopes you will take their first offer
After a crash, you have to deal with your injuries and medical bills, as well as the wages you aren't making. Your bills won't stop coming due just because you can't currently work. Insurance companies know how financially stressed victims of car crashes become, and they may count on that financial stress impacting your decision-making.
It is a common practice for insurance companies to offer inappropriately low settlements to people after crashes. They do this in the hope of limiting the company's liability. The policyholder may not realize that the settlement is too low until the bills continue to pour in for many months. What initially seemed reasonable can eventually prove to be far less than what the victim of a crash needed.
You have to know what your claim is worth and how to fight for a fair offer
Negotiation with an insurance company can seem overwhelming to the average person. After all, they will have to push for fair arrangements with someone who negotiates for a living. Instead of trying to advocate for yourself, bringing in an attorney to evaluate your case after you suffer a serious injury in a wreck can protect you from dangerously low settlement offers.
An attorney with experience in catastrophic injury cases can educate you about the likely future cost of your injury. They will also be able to negotiate with your insurance company in a civil lawsuit to help you obtain the compensation you need.