After a car crash that leaves you or a member of your family with serious injuries, you will definitely feel grateful for your no-fault insurance policy. While many people in Michigan bemoan the expenses associated with no-fault insurance, for those who need medical coverage, the protections of no-fault insurance are invaluable.
Under Michigan's no-fault insurance system, drivers can get basic coverage from their insurer when they're involved in an accident regardless of whose fault the crash was. This no-fault system allows drivers to obtain compensation for medical care, lost wages, and in some cases, damages to their vehicle fairly quickly and easily compared to drivers in states that don't have no-fault insurance. However, the coverage is limited.
Drivers in Michigan have enjoyed several protections against personal injury and damage in the event of a car accident. However, those protections have been considered too costly for many vehicle owners who find themselves strapped for cash.
From the forests of the Upper Peninsula to the streets of Detroit, the roads of Michigan have risks for everyone on the road. Defensive driving and avoiding traffic can only get motorists so far, and nearly everyone has some sort of collision in their memory after a few years of driving.
Legislators in Michigan are making progress toward an overhaul of the state's no-fault auto insurance system, which is expected to benefit consumers through cost savings.
If you've recently relocated to Michigan, then you may not have heard of no-fault or personal injury protection (PIP) insurance before. Virtually every motorist in the state is expected to carry it to cover their expenses if they're involved in a crash in Rochester or somewhere else in the state.
According to Michigan's Department of Insurance and Financial Services, every driver must provide their own no-fault automobile insurance policy that includes Personal Injury Protection (PIP), Property Protection Insurance (PPI) and Residual Liability or Bodily Injury and Property Damage (BI/PD) coverage. An optional type of insurance that Michigan residents may also purchase is Uninsured or Underinsured Motorist (UM/UIM) Coverage.
A group of Michigan House Republicans launched a last-ditch effort this week to try to reform the state's no-fault or personal injury protection (PIP) auto insurance program. Their aim is to get a bill similar to the one endorsed by Detroit's mayor last year passed statewide.
When you're hurt in an accident, the obligation falls on the insurance company to investigate a claim, decide liability and settle the issue for a fair amount. Instances in which an insurer is slow to process, investigate or pay a claim may constitute a bad faith action. If so, you may be eligible to file a lawsuit against them.
If you look at your Michigan auto insurance policy documents, then you'll notice that you have personal injury protection (PIP) coverage listed on it. It's also known as no-fault insurance and it's mandatory that all drivers have it in the state. It's intended to cover medical bills that either you or your passengers may amass if you're involved in a car crash.