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Types of Car Insurance Coverage in Michigan


Car insurance coverage in Michigan is very important. Accidents happen every day. Nobody can predict when an accident may happen. However, even if you cannot predict when the accident may happen, you may at least prepare for it. 

In the article Everything You Need To Know About The Accidental Death & Dismemberment Insurance in Michigan, we have discussed accidental death and dismemberment insurance in Michigan. Since the release of that article, we have received a lot of calls and queries about the other kinds of insurance that are available in the state of Michigan. 

To reiterate, in the United States, accidents are the third leading cause of death. For people between the age of 25 to 44, it is often the cause of death. Of course, this is why it makes sense to have a comprehensive insurance policy that could cover your needs, or your family’s needs when an accident happens.

Here at Haque Legal, it is our goal to make sure that you have the protection you need in times of trouble. We want to answer all of your questions and therefore we have created this article series that would discuss everything you need to know about car insurance coverage in the state of Michigan.

The Types of Car Insurance Coverage

There are different types of car insurance coverage in Michigan. The Michigan no-fault law requires that drivers carry no-fault insurance and this is already implemented since 2019. Every person who owns a vehicle in the state of Michigan is required to have car insurance coverage that should be able to cover and compensate for the injuries caused by a collision regardless of who is at fault.

In the state of Michigan, four different types of car insurance coverage are mandatory and they are commonly referred to as PLPD or the “personal liability and property damage” insurance in Michigan.

The PLPD car insurance in Michigan is the mandatory car coverage but it provides the minimum insurance coverage.

What does minimum mean?

When you get this kind of insurance it means that it is the one that is required by law and does not include any of the optional coverages, which we will also discuss as part of this series.

What are the four kinds of minimum car insurance coverage in Michigan or PLPD?

PLPD insurance provides the minimum insurance coverage that is required by law. This would include the following:

Personal Injury Protection (PIP)

Personal Injury Protection or PIP is the first kind. The coverage provides what is known originally as the no-fault personal injury protection benefits. In case of a car collision or any problem relating to an auto accident in Michigan, it is the no-fault personal insurance protection benefits that the person can go after to compensate his medical expenses and lost wages. 

Personal injury protection is a minimum requirement of insurance in the state of Michigan especially because one cannot tell when an accident would happen and when it does the costs are so high that you cannot pay for it out of your pocket.

Reach out to our Southfield personal injury lawyers to learn more.

What is included in Personal Injury Protection?

Personal Injury Protection includes the coverage for the reimbursement of medical expenses, the percentage of lost wages, attendant care for those who would need in-home nursing services, and replacement services which are services that are needed for those who serve household duties.

Property Protection Insurance (PPI)

Property Protection Insurance or PPI is the second kind of insurance in the state of Michigan that is required. The property protection insurance covers any damage that you may cost to park cars or any other property or fences that may be damaged in case of a Southfield car accident or the surrounding areas.

What is included in Property Protection Insurance (PPI)?

Property Protection Insurance (PPI) has a mandatory coverage of $1 million. Anything that is beyond the amount of the coverage will no longer be covered by this mandatory insurance.

Can I not get Property Protection Insurance (PPI)?

No, you can not do away with this kind of insurance since it is considered as part of the minimum standard insurance in the state of Michigan.

Residual Bodily Injury Liability (BI)

The Residual Bodily Injury Liability (BI) is considered as another one of the more important minimum insurance coverage that all vehicle owners in Michigan should have. 

The Residual Bodily Injury Liability (BI) is the insurance coverage that protects you in case you cause an auto accident that caused someone else serious injuries.

What is included in the Residual Bodily Injury Liability (BI)?

The Residual Bodily Injury Liability (BI) includes the following:

  • a minimum of $20,000 of BI coverage per person;
  • $40,000 per accident;
  • Starting on July 2, 2020, drivers will be required to have minimum BI coverage of $250,000 and $500,000.

Can vehicle owners choose lower limits for the BI coverage?

Yes, vehicle owners can choose lower limits for BI coverage. However, we do not recommend this to anybody or any person who wants to have any kind of proper protection in the state of Michigan.

There is another kind of personal liability and property damage” insurance in Michigan and more optional coverages that you may want to read in the next part of this series.

Get Yourself a Good Lawyer

Here at Haque Legal, we always tell potential clients that the best thing that they can do in case of an insurance dispute is to get themself a good lawyer at the beginning of the proceedings. Even when you are just filling up forms or when you think that you already have a dispute, you can always get yourself a good lawyer to get started with the process.

The first great thing that you can do is to make sure that you have a good guide when it comes to dealing with the legalities of your claim. 

Contact Your Insurance Company

If you have been involved in a car collision in Michigan, make sure that you are protected. By contacting your insurance company, you will have what you need in terms of their decision and see if they just need a little nudge in the right direction.

If the answer of the insurance company is not positive on your claim, then you need to make sure that you will get going with your complaint.

A lawyer can help you get started with your claim. A lawyer at Haque Legal will see to it that your needs are met from beginning to the end of the proceedings. You are always in good hands with Haque Legal and what it has to offer.


The article that you have read is based on general applications of the law. It is not legal advice and it is not to be construed as any legal consultation with the firm. No client-attorney relationship is created when you read the articles we have provided.

Let us help you out.

If you are having trouble with filing an insurance claim or have been in an auto accident in Michigan, call us immediately. If you have any problem with the law or are seeking justice and truth, our numbers are standing by to take your call.

The post Types of Car Insurance Coverage in Michigan appeared first on Haque Legal.

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