I Am Looking for a Cheap Auto Insurance Rate in Michigan
Reader’s Question:
I am planning to move to Michigan from Arizona and I would like to know if my car insurance will be cheaper in Grand Rapids, Michigan?
Harold
Grand Rapids, MI
Auto insurance coverages are different in Arizona and Michigan. Lets start with the state of Arizona.
Arizona law requires that all automobiles driven in roadways needs to be covered with liability insurance with an insurance carrier licensed to do business in the state of Arizona. The minimum liability insurance in the state of Arizona is 15/30/10 and this means $15,000 for bodily injury liability per person up to $30,000 per accident and $10,000 for property damage liability.
In the state of Michigan, the car insurance coverage that needs to be purchased are Personal Injury Protection (PIP), Property Protection (PPI) and Residual Bodily Injury and Property Damage Liability Insurance (BI/PD). The Residual bodily injury and property damage liability (BI/PD) pays if you are found at fault, for any damages caused by a car accident up to the limits of your car insurance policy.
In Michigan, the minimum liability limits that needs to be purchased is 20/40/10. This coverage means $20,000 per person up to $40,000 per accident and $10,000 for property damage liability. You have the option to purchase Residual bodily injury and property damage liability (BI/PD) for additional coverage.
It will still depend on different factors whether your car insurance rate is cheaper in Grand Rapids, Michigan than in Arizona. You can get car insurance quote here to have an idea what your car insurance rate will be when you move to Grand Rapids, Michigan. Good luck!
Cheap Liability Car Insurance Rates In Michigan
Reader’s Question:
I have to be on my own now. I used to be under my mom’s insurance policy. I wonder if I could ever get a cheap car insurance here in Michigan. What are the components of a basic liability only car insurance policy in Michigan?
Kate
Detroit, MI
You must first start with Michigan’s minimum car insurance requirements for you to get cheap car insurance in Michigan. All cars, except motorcycles and commercial motor vehicles, must carry no-fault insurance. You can’t actually register your car in Michigan without first having no-fault car insurance. This no-fault insurance provides car insurance coverage for you as a policyholder.
There are actually three kinds of car insurance coverage required by Michigan. They are personal injury protection (PIP), bodily and property damage (BI/PD) and property protection insurance (PPI). A basic car insurance policy in Michigan covers these three components.
In the event your car is damaged or stolen, none of these car insurance requirements provide insurance coverage. In Michigan, you should purchase comprehensive insurance coverage and collision insurance coverage in order to insure your car in the event of damage or theft. Comprehensive car insurance coverage provides coverage for theft of your car or its components and contents, while collision car insurance coverage provides coverage for damages to your car.
Michigan drivers are able to get cheap car insurance when they opt to purchase only the three components of a basic car insurance policy which are PIP, BIPD, and PPI car insurance coverage requirements. Comprehensive car insurance coverage and collision car insurance coverage are not normally required of Michigan drivers unless they have borrowed money to purchase their cars and their lenders require those coverages.
There are many other ways to get cheap car insurance without simply purchasing the minimum car insurance coverage requirements. You can shop around and ask any car insurance company or agent about the various discounts for good drivers, good students, driver education course completion, and multi-line policies that they offer and if you are eligible.
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