Motorists in the Great Lakes state are required by law to purchase automobile insurance before driving a vehicle. Ignoring these laws could mean a large fine, a 30 day driver’s license suspension, or even up to a year in jail. These penalties, however, can be avoided with ease by finding an adequately priced policy that offers a sufficient amount of coverage. Instead of simply purchasing the first available policy, residents are encouraged to become familiar Michigan’s no-fault policies as well as which forms of protection are required and what extra steps should be taken in order to achieve a comfortable level of protection. Locating this information can often be done with only a small amount of research.
The average cost of a vehicle protection plan in 2008 was roughly $907, giving MI the 11th most expensive average expenditure in the nation. Despite these costs residents can still find cheap auto insurance in Michigan by shopping around for the lowest possible prices. Completing an online quote comparison is an excellent way to cut coverage costs by allowing residents to choose a policy from amongst several estimates provided by dozens of insurers. By shopping for a protection plan and comparing as many prices as possible a vehicle owner is likelier to considerably decrease coverage costs. Although price is important for many motorists, it’s important for residents to find a balance between the cost of a policy and the amount of coverage that is being provided, striving to find a policy that is both adequately priced and offers enough protection to avoid any sudden out-of-pocket expenses after an accident.
The amount of coverage that is required by the state is already fairly extensive. Every policyholder must carry a protection plan that includes Personal Injury Protection (PIP) and Personal Protection Insurance (PPI), as well as Residual Bodily Injury and Property Damage Liability (BI/PD). Although these basic limits are adequately high for many motorists, residents may still choose to raise them in order to obtain greater coverage. For example, vehicle owners are required to have $10,000 liability for damages to another person’s property in other states. A motorist that frequently travels out-of-state might want to consider increasing this amount in order to achieve greater coverage. Apart from improving upon the basic limits, residents are encouraged to explore additional ways of increasing coverage.
Additional protection can be very beneficial for many vehicle owners, and may even prevent an MI resident from having to pay expensive repair costs out-of-pocket. Because the standard no-fault policy does not cover damages to a person’s own vehicle many residents choose to include collision coverage which pays for damages sustained by an individual’s vehicle during an accident. Furthermore, because the Great Lakes state has an uninsured motorist rate of nearly 19% many residents are encouraged to consider additional protection but are also urged by the MI Office of Financial and Insurance Regulation to remain aware of Uninsured and Underinsured Motorist Coverages Possible Exclusions that might affect one’s policy. With the proper research, however, residents can easily find a comprehensive policy that is still adequately priced.
Source: http://www.onlineautoinsurance.com/michigan/
