Insurance in Michigan

• Michigan's reform applies to policies issued or renewed after July 1, 2020. Before then, drivers had to buy unlimited PIP, and the minimum bodily injury coverage was $20,000 per person and $40,000 per accident.
• You choose your PIP medical level and bodily injury limit on forms from your insurance agent or company. If you do not choose, or you pick an option you do not qualify for, your policy is issued with the default coverage and you are charged for it. The default bodily injury limits are $250,000 per person, $500,000 per accident and $10,000 for property damage in another state.
• PIP options 4, 5 and 6 require proof of qualified health coverage (QHC) or Medicaid or Medicare enrollment. For July 1, 2026 to June 30, 2027, the QHC deductible limit is $6,579 or less. Proof is required at every renewal for the Medicare opt-out.
• Wage loss, replacement services and some funeral and burial benefits remain part of your policy even if you exclude or opt out of PIP medical, and you may be charged a premium for them.
• DIFS says VA coverage is not qualified health coverage for excluding or opting out of PIP medical. TRICARE and CHAMPVA are. Indemnity plans are not.
• If you opt out of or exclude PIP medical and then lose qualified health coverage, you must notify your auto insurer and obtain qualified health coverage or PIP medical coverage within 30 days.
• Under mini-tort, if you are 50% or more at fault, you can be sued for up to $3,000 in damages to the other vehicle not covered by insurance. Limited property damage coverage, which is optional, protects you from that amount.

General information only. It is not legal advice. Rules change, so confirm with the official sources listed below.