Motorists in Michigan are required to buy no-fault automobile insurance to receive license plates or legally operate a motor vehicle. Driver Responsibility Laws were created in the Great Lakes State to ensure that all licensed drivers are equipped with Personal Injury Protection (PIP), Property Protection Insurance (PPI), and Residual Bodily Injury and Property Damage Liability (BI/PD). To help residents meet these requirements, there are hundreds insurers licensed to sell vehicle coverage. Most of these companies, however, offer unique services and rates. To choose an insurer, residents should shop around and explore as many options as possible.
To find the cheapest auto insurance in Michigan, residents are encouraged to compare quotes from several different sources. To gather sample rates that are accurate, however, a small amount of information is required. Coverage costs are based on a several important details that all help insurers determine the risk that a motorist will file a claim. Drivers who are at a higher risk usually encounter higher premiums, while lower risk drivers often receive cheaper coverage and discounts. The National Association of Insurance Commissioners found that in 2008 the average expenditure in the Great Lakes State was just over $900, but a vehicle owner’s personal details may lead to either higher or lower coverage costs.
Necessary Personal Information for MI Auto Insurance
The information that Michigan motorists must relay to receive an accurate quote generally includes several personal details and information about the automobile being insured. Generally this includes the age, gender, marital status, address, credit rating, and driving record of the resident in question, as well as the year, make, model, and desired coverage of the vehicle being insured. Each of these details corresponds to extensive research and statistical information that helps insurers determine the likelihood that a driver will file a claim in the near future. For example, motorists under the age of 25 are involved in more accidents than any other age groups, and statistically, women file fewer claims than men.
While shopping for coverage, the MI Department of Licensing and Regulatory Affairs encourage residents to help combat Auto Insurance Fraud by protecting personally sensitive details. While an extensive amount of info is necessary to produce an accurate quote, there is no reason for drivers to relay their social security, driver’s license, or credit card numbers to see a sample rate. Companies that demand these details, or offer services that seems too good to be true, may be illegitimate.
If a motorist’s personal details make it difficult to find adequate vehicle coverage, residents can apply to the Michigan Automobile Insurance Placement Facility. This program was created to help higher risk drivers find insurers willing to provide drivers with the vehicle coverage necessary to legally drive.