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Michigan's Auto Reform Saved Me $384 per Year on Car Insurance

Jordan Milkovich

No, this isn’t a GEICO ad! My car insurance is really set to decrease by nearly $400 per year when the auto insurance reform in Michigan takes place.

I heard about the full no-fault insurance reform bill (proposed in 2017) and was curious how it would impact my car insurance premium. I contacted my insurance agent and he told me that it would likely reduce premiums for older people due to the nature of Medicare. He got back to me in less than a week with my options and how I could save.

I learned that car insurance is still based on factors like your vehicle, age and driving record but now you may be able to select your PIP (personal injury protection) coverage if you have enough medical coverage through your health insurance.

Michigan Auto Reform Summary

Auto insurance policy changes are set to begin on July 2, 2020. The most simple explanation of how this impacts car insurance is that it allows you to select a coverage amount for PIP. Your choices are:

  • $50,000 plus $200,000 for medical treatment at the hospital

  • $250,000 for medical treatment
  • $500,000 for medical treatment
  • Unlimited for medical treatment (your premium won’t change if you choose this option)

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