Most Michigan residents are well aware of the fact that Michigan is a no-fault state when it comes to their Michigan auto insurance coverage. In Michigan selecting the right auto insurance to meet your needs usually requires purchasing much more then just the basic Michigan minimum requirements to remain legal. The no-fault law in Michigan is supposed to be quick at compensating medical expenses, lost wages, and getting your vehicle repaired.
Michigan auto insurance law requires you to carry the minimum Bodily Injury Liability limits of 20/40/10. This means you have coverage for $20,000 per injured person up to a total $40,000 per accident. This also comes with property damage liability of $10,000. In the state of Michigan property damage is automatically increased and covered up to 1 million dollars.
There is also PIP coverage included in your Michigan auto insurance policy as well. This covers personnel injury for all reasonable medical costs, wage loss for the driver and passengers if any. This also covers wage loss for people unable to go to work, clean their house, etc...
Collision coverage is an optional coverage that will reimburse for damages to the actual vehicle in the event of an accident. This comes three forms. The first is broad form collision. With broad form collision you only pay the deductible if you are more then 50% at fault in the accident. This is considered the better option out of the three. The next is basic, or standard collision. With this coverage you have to pay the deductible no matter who is at fault. It still provides excellent coverage, you just carry some of the risk no matter what. The last coverage is limited collision. This coverage only provides reimbursement if you are less then 50% at fault in the accident. If you are 51% at fault you wouldn't have any physical damage coverage.
Apart from the all the above coverages we described, there are few more coverages available like comprehensive coverage, uninsured or underinsured coverage. This is always good to talk to your insurance professional to get a policy that meets your specific needs.
As you can see, there are various kinds of coverage for the different purposes when it comes to Michigan auto insurance. In the end you have to go with what meets your needs best. The more coverage you purchase and the less risk you take on yourself is going to mean more expensive insurance bills. This isn't always bad though in the long run. Paying a little more now for excellent coverage can save thousands in the long run when you need it. On the other hand, insuring a vehicle that is worth a few hundred dollars with all the extras might just be a waste of money. Getting quotes online from multiple carriers is one huge way to lower those bills too.
Check out more about north Carolina Auto Insurance and Michigan car insurance.
Filed under auto insurance price quote by on Mar 23rd, 2010. Comment. 
Enterprise forced Insurance Coverage?
I was hit by an insured AIG driver. His fault and has taken responsibility. AIG will pay for the rental. I was sent to rent a car at Enterprise, I was forced to get additional coverage because I only have the CA legal limit (Liability only). This coverage is non-transferable from my current insurance provider and according to Enterprise is not enough anyways. AIG now says they will not pay for this coverage as they will not put me in a better position than I was in before I was hit. I was in a better position before my car was hit I explained. Enterprise says I could not decline the coverage or they would not rent me the car. Why am I forced to get coverage I was not required by law to have? Now I am in the hole for almost $300.00 bucks and counting as my car is still not finished. I have gone up the insurance chain and continue to be shut down. My insurance company says to take them to Small Claims Court. What can I do? Thanks in advance for any assistance.
Your policy is liability only.
You do not have Collision or Comprehensive coverage.
As such - Enterprise is requiring you to purchase collision/Comprehensive coverage from them. This coverage protects their rental car should it be damaged. They are not going to let you drive away with their car -- and no protection for it if it gets damaged while it is in your car. You can chose to not carry this coverage on your own car if you want to. But if your car gets damage -- you suffer the loss. Enterprise chooses not to take this risk on you.
AIG is not required to purchase insurance for the rental car. They are only required to provide you reasonable reimbursement for the loss of use of your vehicle. This usually means they will pay the daily rate plus tax. They will not purchase insurance coverage for the rental car.
If there is a Hertz in your area - you may want to check with them. They also do insurance replacement rentals - however, in my area they do not require you to purchase insurance to protect their car. They will, however, hold you personally liable for any damage that happens to their car while it is in your possession.
If Hertz is in your area and does the same thing - see if you can transfer from the Enterprise car to a Hertz car.
Filed under auto insurance price quote by on Mar 3rd, 2010. Comment.