Michigan Car Insurance Rate

I understand that Michigan is a no-fault state, and as a result everyone gets this PLPD insurance or something. I'm moving from Pennsylvania and had full coverage on my car for about $90/month. I thought PA and MI were both no-fault, but it seems different and the rates I'm being quoted for the same insurance in MI are higher. I'm so confused!! Also, right now I am on State Farm. I'm 25 but on my mom's plan, and I am getting married/changing my last name and I now live in Michigan so it is past time for me to pay for my own insurance.
Right now I'm on State Farm, and there are agents both here and in PA, but their rates seem to be high.

Michigan is a wierd state for insurance. If your car is worth anything, you will have to have physical damage coverage. Reason: If you are in an accident, the most you can collect is $500.00 from the other insurance company ( it is called a mini tort) unless you ae legally parked at the time of loss. As the laws are this way, the rates are higher as the Insurance co's cannot collect the damages that they paid out from the other person's insurance co due to the law only allowing the mini tort $500.00. Also, the closer you are to Detroit, the higher the rates due to the high incidence of auto theft in that area.

2006-08-21 08:50:57 by Tara

Michigan auto accident attorney, Larry Gursten, urges Michigan drivers to protect themselves with uninsured and underinsured motorist coverage (UM ...

So in early march my apartment was raided for pot, and a 1/2 gram was found. I was convicted of possession of marijuana and as part of Michigan's driving laws even if the incident did not occur in a car your license is restricted for 6 months. Yesterday my mother (the insurance for the whole family is in her name) received a notice that i had 8 points on my license and my insurance rates would be raised. Confused about this i went to Sec of State and in fact found out that i have no points. I called Memic and explained this to them, they informed me that they do not use actual points, they use their system of points. For example OUID is a 6 point offense but they count it as 8 points. Passing a stopped school bus (which as far as i can tell is no points) they view as 8 points.

My question is, can they do this? We are switching insurances next month due to cheaper rates but this seems like a shady business practice to me.

Thanks for ur time!!!

-Pat

Your insurance company looks at your driving record (motor vehicle history and claims history for accidents that may not have been reported to the police) and assigns "insurance points" for any offenses or accidents that are there. Depending on the state, companies assign different points for different offenses. In NJ, a DWI, driving without insurance or driving while suspended are 9 insurance points, an at fault accident is 5 insurance points, passing a schoolbus is 5 insurance points. In VT & NH an at fault accident in 1 point for most companies, two moving violations could be 1 point (one would be no points), DWI would mean no points but the policy is nonrenewed. Then you would have to go to a company like Progressive who charges 2 points for a DWI & 3 points for an accident (in the same states). Insurance points are a system of surcharging. A "point" is a percent of increase in your insurance (usually 10-25% depending on the company).
So, even if you change companies, they will look up your record, find your possession conviction and surcharge accordingly.

2007-09-06 14:25:47 by Diamondback2

Hello, I am writing from Tucson, Arizona and I have 2 teenage sons (16 & 17) that both live in Wayne County, Michigan (near Detroit). The boys live with my ex-husband and he wont let them get their driver's license because he claims 'his insurance rates will go up'. ???is this true???? (I have a 21 year old daughter and when she was 16 with her driver's license I just excluded her from my insurance with one company and when I switched to another company, I just ommitted telling them I had a teenage driver. Does anyone know who this works in Michigan, Harper Woods, Michigan, I believe he has just a local company with no-fault insurance, state basic minimim insurance. ???Or if the boys do have to get their own insurance when they do get their own car, does anybody know the best rates for new teenage drivers with a good record????
thanks

When my two daughters got their license, my insurance more than doubled. Be glad your daughter never had an accident or your policy would have been voided and the accident not covered. The price hike CAN be mitigated somewhat if the kids have taken drivers ed and your kids have at least a B average in school, along with a multi-car discount. Some companies will discount another 10% by having your homeowners policy with them as well as your auto insurance...Good Luck!

2008-02-04 17:30:43 by Lisa I

We have the highest unemployment rate. Car insurance is really expensive here. There are few good jobs. We let Canada dump their trash here. We have more people moving out of the state than moving in. Has Michigan become the worst state to live in?

"Is Michigan becoming the worst state to live in?"

No.

"We have the highest unemployment rate."

Correct, perhaps. It is #1 or #2, up there with Mississippi. However, many places in Michigan, like West Michigan (Grand Rapids area), have a fairly low unemployment rate.

"Car insurance is really expensive here."

It is about $140 more than the national average. About $12 per month. I wouldn't say "really expensive".

"There are few good jobs."

Again, there are jobs in West Michigan.

"We let Canada dump their trash here."

The dumping of Canada's trash in Michigan is going to end soon.

http://www.senate.gov/~stabenow/stoptras h/

"We have more people moving out of the state than moving in."

A lot of states do. And, Michigan is far from the worse. Biggest losers in net migration since 2000:

1. New York 334,093 loss
2. Ohio 102,008 loss
3. Massachusetts 73,741 loss
4. Louisiana 69,373 loss
5. Illinois 63,011 loss
6. Michigan 42,183 loss

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Considering that Michigan has 3,300 miles of shoreline, thousands of beaches, hundreds of islands, hundreds of waterfalls, thousands of acres of dunes, 11,000 inland lakes, millions of acres of forests, and the oldest mountains in North America, I'd say it is a great place to live. Perhaps that is why 10,120,860 call Michigan home.

2006-10-07 22:33:12 by J

Ok, so I got a speeding ticket on Saturday for 5 over, I haven’t gotten a ticket in almost 5 years, my driving record is almost perfect, I’m 25 years old. So, I haven’t been too sure about my car insurance, my dad was paying for a while, he stopped, so I made a couple payment and I moved and it just kind of disappeared, I know I’ve been very irresponsible and I will suffer any consequences I get. So I didn’t have proof of insurance when I got pulled over, the cop said it was fine, just bring it when I pay my ticket. So I’m fairly certain I didn’t have active insurance at that point, so I’m wondering now if I were to buy insurance right now and bring proof of it in, would I get in trouble for not having it at the time I got pulled over? It was just a citation? How much will my insurance rates go up for a 5 over? Let me know, thanks! PS. I live in Michigan.
Heather! Please I need more information, I am really scared right now. Who did you speak too? Are you positive they will back up my date? I got my ticket Sat!
Heather, I just called and they really helped me. Are they your main auto insurance carrier now?

I suggest you visit a local auto insurance agent to assist you. Since I live in Rhode Island I can't recommend an agent in Michigan, but here is an website that can help you. http://www.autoadviceonline.com/Auto-Ins urance-Quote.html

Good Luck!

2009-02-17 07:07:35 by ceallaigh123