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Michigan’s Top Ten Worst Automobile Insurance Companies

After a comprehensive investigation of thousands of legal documents, the American Association for Justice recently compiled a list of the worst insurance companies in America. Each of these companies writes auto insurance policies in Michigan. For Michigan automobile accident lawyers, the 2008 list is no surprise.

For an updated list, visit our attorney picks for the Worst Auto Insurance Companies in 2013 and the  Top 6 Worst Insurance Companies – 2011.

Deny, Delay, Defend

Topping the list as the worst insurance company in America is Allstate. Car accident victims in Michigan have been experiencing Allstate’s “good hands” for years as the insurer has denied and delayed payments, and then defended legitimate cases after forcing a lawsuit to be filed. Following close behind Allstate was Unum, AIG, State Farm, Conseco health insurance, WellPoint, Farmers, UnitedHealth, Torchmark and Liberty Mutual.

AIG, the insurer for many of the more serious truck accident cases in Michigan as they write many excess and umbrella layers of insurance coverage, is well-known among Michigan truck accident lawyers for its notorious bad faith approach to settlement negotiations until the eve of trial, and for refusing to make good faith offers to resolve serious truck accident cases early on. It is no accident that many of the better truck accident defense lawyers in Michigan refuse to defend AIG cases.

The consensus among most no fault insurance lawyers is that State Farm has become the worst first party auto insurance company in Michigan. State Farm puts many of its own insureds, who paid valuable premiums for protection if they were ever injured in an automobile accident, “under investigation” which has become the excuse for simply stopping all payment of medical bills and wage loss and refusing to disclose any reason to their own insured, forcing these people to hire a lawyer to sue for benefits that State Farm is legally obligated to pay.

Michigan accident and personal injury attorneys have become very familiar with Allstate’s “Deny, Delay, Defend” strategy, which has made national news and has been the subject of many news stories by organizations such as CNN. Allstate’s tactics have lately been copied many other automobile insurance companies on the list like State Farm and Farmers insurance. Insurers use this tactic to maximize profits for their shareholders and CEOs at the expense of policyholders. And the strategy works: The CEOs of the top 10 property/casualty firms earned an average of $8.9 million in 2007, and Allstate alone raked in a profit of $4.6 billion last year by collecting premiums and aggressively denying payments to policyholders.

Michigan Residents Are No Exception

These aggressive tactics have been especially prevalent here in Michigan, due in no small part to the Michigan Supreme Court, which has consistently favored auto insurance companies and made recovery for victims injured in car accidents in Michigan increasingly difficult. Without bad faith insurance laws, and devastating opinions like Devillers barring injured victims from recovery, insurance companies have few reasons not to deny, delay and defend in our state.

Still, Michigan lawyers do have some tools that can be used to hold at least some of these insurance companies accountable. By taking a claim to trial and proving that it is “overdue,” a lawyer is entitled to statutory interest and attorney fees. In the meantime, as groups like AAJand the Michigan Association for Justice expose the bad insurance companies greed, we hope public support builds for legislative reforms to help curb practices that put profits ahead of policyholders.

Posted in: BLOG, Michigan Auto Insurance, Michigan Motorcycle Accidents, Michigan No Fault Benefits, Michigan No Fault Law, Michigan Personal Injury, Michigan Truck Accidents, Michigan Wage Loss, Social Security Disability, State Farm Auto Insurance.

64 comments on “Michigan’s Top Ten Worst Automobile Insurance Companies

  1. xbox360 games on said:

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  2. Elaine on said:

    Casr Accident State FarmNo payout total loss

  3. Elaine on said:

    Car accident State Farm Insurer nopayout to me as of yet

  4. Pingback: Possible change in Michigan attendant care law: lower rates for family members providing in-home attendant care | Michigan Auto Law Blog

  5. Georgia on said:

    Thanks for interesting article

  6. Pingback: Michigan car accident victims routinely have insurance benefits cut off without reason | Michigan Auto Law Blog

  7. chrissy on said:

    i need someone to respond regarding a matter of insurance in the state of michigan

  8. sigrid giordano on said:

    i have paid for my car insurance for 14 years and have always paid 6 months in advance. my last bill was for 300.00 more per year. i have never gotten a ticket or broke the law in any way. when i called my insurance agent, i was told because i don’t have a credit card that they can check my ratings, i am charged more. this makes me so angry. i have paid all my bills for 40 years and have never ever made a late payment EVER. i do not believe in them because this is why our country is in such a mess. here i am, being punished because i pay in cash. what a crock of SHIT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

  9. I was involved in an accident last week in which the driver of a motorcycle didn’t see me when i was stopped to turn into my work. He ran right into the back of me. He was seriously injured. I was not injured. But i find out today through my insurance company that HIS medical bills will be PAID by MY INSURANCE!!! The accident was 100% his fault! How does this affect MY insurance rates! I am outraged that I (my insurance) is going to pick up HIS tab for HIS accident, which in turn makes everyones rates go UP! Unbelieveable law! And my hands are tied.

  10. Sherry on said:

    I am A Single Mom hit by drunk driver in the afternoon 5/18
    State Farm wants to total my car, l lose a vehicle, owe $3800 more
    to pay off loan, and am left with NO Car and a neck brace,
    State Farm stands behind this policy and says I have no other options.
    Why do I even carry insurance, if this scenario is possible and I end up
    owing money , losing a vehicle, sustain a sprained neck injury and miss work
    not to mention no rental car to transport my daughter and I.
    Seems like the law abiding citizen is being punished, while the actual person
    who broke the law is Protected…

    What hav
    TICE

    • Miss Carolyn on said:

      My experience in Michigan for the most-part has been okay! But at times some things seem really strange the way people are attacked for trying to obey the law and do the right thing…car insurance is such a bunch of crock living in Roseville, Macomb County Michigan at 48066 zip-code. Why do they want so much money for automotive insurance? There is no reason to charge persons with excellent driving records $ 125.00-$250.00 for monthly insurance for Ford Focus SE in exceptional condition , great mileledge and this car has never been in accidents. In Cinati, Ohio this car would be not more than $ $100.00 per-month.
      What is wrong with these crazy car insurance companies? Who do they think our parents are” George W. Bush”..

  11. Ron Risser on said:

    My wife and I have been with Allstate for at least 20 years, probably much more. We have a teenage driving-age son and daughter. In 2001 I turned in front of and injured a bicycler. In 2005 I did the same to an uninsured unlicensed kit hot rod injuring the 60+ year old passenger-owner and critically, nearly fatally injuring the 57 year old driver. I was sued for a huge amount and settled for a large amount. The minor damage to my car resulted in it being “totaled” because of it’s age. Allstate promptly (within a month) compensated the full blue-book price, minus deductable. They also held up their end of their feduciary responsibility. I hired a lawyer to work with Allstate’s lawyers, a move that paid off and kept them in line. A year and a half later, after the settlement, I was advised by a friend to drop Allstate before they dropped me. We didn’t, and neither did Allstate. Neither have our insurance rates increased even though in 2007 my daughter was the cause of a minor collision with the usual property damage claim (over $5K). Allstate has, for the MOST part, stuck with us, so we will stick with them. Could it be that it’s because we live in California that our experience with Allstate has been so different than the other blogs?

    Ron and Karen,
    born and raised in Grand Rapids, MI;
    residents of Santa Barbara, CA for over 33 years.

  12. Thomas on said:

    What does everyone in Michigan expect? Once they uttered the phrase “mandatory auto insurance”, the insurance companies came at us like a pack of drooling dogs.

    Don’t count on anything changing either. The treat of fines/jail are all the insurance companies need to keep their racket going.

    Where exactly do you think all that lobbying money comes from? Every payment you make to these companies out of fear and intimidation goes toward keeping the laws just the way they are. We’re giving them money so they may continue to screw us. How asinine is that???

    Do you know what percentage of your premium is based on your credit score as opposed to your driving record? You should.

    It’s time for the citizens of Michigan to take back control from special interest. Unfortunately, too many people have the fortitude of sheep to do the right thing – cancel your auto insurance in a peaceful, yet clear message that we are no longer going to stand for the abuses of the insurance companies.

    So until that time, keep complaining – because that’s all that’s going to happen.

  13. Steve Gursten on said:

    Thomas,
    While I certainly understand your frustration with the greed and dirty hands of many insurance companies, I strongly advise against your recommendation of canceling your auto insurance policies. It is against the law in Michigan. And if you are injured in a car accident due to another driver’s negligence, you have absolutely no rights without auto insurance coverage. That means even if you are completely innocent, and you are rear-ended by a drunk driver and paralyzed for life, iyou cannot sue for your pain and suffering under Michigan law if you have no auto insurance. I agree the system is broken, but driving “bare” is not worth the harsh penalties you will suffer if you are involved in a serious car accident.

  14. P.J. on said:

    Why is there no State or Local oversight of insurance companies policies or operation procedures. I know there is a State Agency that you can file a complaint with but they have no power over the insurance company.

    This is a prime example of large insurance companies that pay lobbist and make campaign contributions to law makers, that write and pass the laws that protect the insurance companies and not the general public.

    Isn’t it great paying all that money for madatory insurance coverage, and when you need to file a claim or better yet, someone files a claim against you that your insurance company will try to get out of their responsibilities of coverage for as less as they can and then they leave you open for a third party lawsuit.

    Talk about being rode hard and being put away wet………

  15. Steven M. Gursten on said:

    P.J.,
    I agree that Michigan is sorely lacking in insurance company oversight and needs more. One welcome change, just this past month the insurance commissioner reinstated an old policy that new changes to insurance policies must be approved beforehand, which was dismantled during the Engler Administration. Michigan has no bad faith law, no punitive damages, and contract laws regarding auto insurance policy interpretation that allows insurance companies to get away with things that I am not aware of any other state allowing. Our laws on requiring permission on underinsurance policies is a great example where Michigan literally is the only state allowing insurance companies this kind of unchecked power.

  16. Jonathan Beard on said:

    I had a car accident on March 1,2003 and when 2 Trial and lost because my Attorney sold me out and was working not for me but again me and the Judge allow it 2 happen. Trial was Jan of 2006 could it be redress because the jury never view any evident before they made their decision I suffer with carpal tunnel neck and back also found out i had a fracture to my right leg from the car accident .

  17. chris on said:

    insurance companies and the bastards that run them are the biggest scumbags ever they may be wealthy but it was not earned. they basicaly have a license to steal and that is complete bullshit. What is the idea of checking your t.r.w to calculate your premium. That has nothing to do with your driving habits .Personally i hope they all go belly up and the big cheifs loose everything.Because the money i make i have earned i don’t lie to people or cheat any body.These assholes have no concept of that

  18. Julie Kula on said:

    As a current victim of the auto ins co authorizing treatment and then denying it when it was completed, I would like to get invovled in reform. Who are the Judges that think it is o.k. for the insurance company to delay paying bills for a year because then they become the responsibility of the injured party? Who thinks it is o.k. that the insurance co can authorize treatment and then change their minds after the the fact? These people should not be re-elected.
    Thank you,

    J. Kula

  19. Sadly Insurance is not a tangible thing you are buying. You are paying for a service you may or may not need. If you never use it they get to keep whatever money you paid and if you do use it you may see an increase in how much you pay. Your credit rating should not have anything to do with how much you pay but it does. The insurance companies figure that if you don’t pay your regular bills on time then you wont pay your insurance either and thus they charge you more because you will take more resources ( this is the assumption) than someone who does pay ontime and regularly. The good news is that they only consider that at the outset or when you quote. If you have had coverage with them (most of them) for 6 or 12months with no problems they will even lower your rates as you are then a better risk since you paid ontime and are a renewing customer. The longer you stay with a company the more loyalty bonuses you will get however if you then have an at fault accident you will see those huge increases. In Michigan if you are not at fault for an accident you will typically not see an increase in premium unless you insure with allstate- they apparantly count everything against you! As far as Michigan law goes- it is absolutely ridiculous! As someone pointed out if a motorcyclist hits you, your auto pip coverage will pay their injury regardless of who’s fault- here is the kicker- you just have to be an involved vehicle there doesnt even need to be contact between your car and the motorcyclist. That is nuts. Luckily though pip claims do not effect your rates in Michigan either so you should not see an increase because of pip coverage paid to anyone. You don’t “need” insurance however in this day and age going without it is just plain stupid. You could be personally sued for damage whereas had you had insurance they would owe to defend you etc… So don’t go without it but just contact your representatives, and senators- they work for you! Let them know about your complaints and ask them to make changes. Tell your friends to do the same. Make it clear you are not happy with the laws and they will eventually listen! Good luck to everyone- I empathize believe me!

  20. The Insurance companies try to justify rates by using those credit scores, why?
    Young, good drivers are punished( thru rates)because they have yet to establish
    a good credit score. Now that its even harder to get a credit score established
    due to the economic conditions.No matter, college student, honor college, high
    GPA, scholarship recipient,great driving record, no tickets, no claims, car sits
    90% at school….no matter.. you are being taken advantaged of.Your rates in
    Michigan…way to high, unaffordable, while tuition rates are up 5-10% each year.
    I had insurance quotes from at least 5 companies-what a joke.You need to have
    insurance, however.. you are driving college seniors-to want to leave the state.
    The insurance companies are rates hikes have back fired- write to your
    congressman,write letters to your present insurance company.Its hard to have
    competition when the laws- credit scoring, castastrophic rates are LOCKED IN.
    So, whats next, how do we save?

  21. Al Morris on said:

    I was rear ended by a large commercial truck and it messed up my lower back more than it was. Hanover/Citizens is my car carrier.I reported my injury to them and they dragged their feet coordinating my STD with their policy. I intervened and sped things up a bit but still had no income for over a month.

    Citizens paid a couple of checks, allowed me to have surgery then sent me a letter telling me they were “investigating the relatedness” of the accident to my injury. No doubt because I had a pre-existing condition even though they didn’t say that. No mention that they were also stopping my benefits. None of my correspondence with them was getting responded to. The original adjustor got changed. I called them a couple weeks after I got the letter and the adjustor told me she would see what was going on and call me back that afternoon. She lied, Never heard from her and that was 3 weeks ago. I filed a lawsuit last week.

    24 years with them ( I just changrd my renters Ins. to another Co.) never a claim. By no fault of my own I get injured and when I need them most I get shut out. Just what I need to help me heal comfortably. This is just wrong.

    Something needs to be done to make these insurance companies accountable. J. Kula (post above) I agree.

    A. Morris

  22. Michigan’s economy is in shambles and its residents keep moving out of state, which erodes the economy even further. Michigan has to make it more affordable and more appealing to live there. The way the insurance system is set up now, its a vicious circle for Michigan residents. Imagine, you are struggling financially to pay your bills, or you lose your job, missed mortgage payments so your credit gets dinged, then insurance goes up because its tied to your credit, so then you have less money to pay your bills, gas goes up, economy is tanking, more jobs being lost, etc., etc. Just goes round and round. The state legislatures need to find ways to relieve the financial pressure and burden on its residents. One way to do this is insurance reform. Michigan has to do something to keep its residents and attract more. Car accidents are a serious reality in Michigan because the weather is a major factor. Auto insurance reform should be a priority for state lawmakers. So please, write to your local representatives, and give them viable incentives for insurance reform (don’t just complain). I grew up in Michigan but now live in California. I’ve had to deal with auto insurance companies in both states. The laws in Michigan are ridiculous in comparison.

  23. Steven M. Gursten on said:

    S.L., A sincere thank you for your thoughtful comment. Hopefully our readers will heed your advice and demand reform.

  24. The entire insurance industry in Michigan needs reform; worker’s compensation system, home owners and automobile. I suffered injuries that left me disabled in 2006. I was in my own vehicle performing tasks for my company. I was insured by w/c, auto & bcbs but low and behold…no one wanted to pay! Each pointed the finger at each other as the responsible party for my medical expenses. I’ve been out of work for close to 4 years…3 1/2 without income until SSD finally stepped in and agreed that I was totally disabled. This didn’t matter to the insurance companies…auto and w/c want to blame my injuries on a pre-existing condition. Funny…up until the accident I never missed a day of work for this so-called pre-existing condition! Due to the financial stress of non-payments I’ve lost my home and am going through a divorce. The strain was much to much for my partner (shame of him). I used to love my State but after all I’ve been through I will look to find a state that recognizes the needs of their residents…not the interest of the greedy insurance sob’s. Michigan MUST stop complaining and insist on reform! Unfortunately, most people don’t realize this is happening until it hits home.

  25. We pay $128.40 per vehicle per year for “statutory assesments, including MCCA”. There are four vehicles on our policy; we are paying over $500 per year. Can you please explain what this charge is for? Only one of the rated drivers’ on our policy has any accidents or tickets – and it is so noted on the declaration certificate for that vehicle. I understand that she (adult daughter) must pay higher premiums because of an accident and driving record; but why are we paying this high amount on our other vehicles when the other three drivers do not have any accidents or points?

    Is this a predetermined amount that everyone pays per vehicle?

  26. Steve Gursten on said:

    MCCA stands for Michigan Catastrophic Claims Association and is often referred to as the “Cat Fund.” Because the Michigan No-Fault Act includes lifetime, unlimited medical expenses, when the No-Fault benefits paid by an insurer reaches a certain maximum limit, the insurer can seek reimbursement from the Cat Fund. This happens primarily when a claimant’s injuries are catastrophic. The current limit to reach the Cat Fund for policies issued between July 1, 2009 and June 30, 2010 is $460,000. The per vehicle assessment is adjusted each year based several factors which include the number of auto policies written and the estimated total amount needed to cover all catastrophic claims that year. The current per vehicle assessment is $128.40 and it applies to all drivers in Michigan regardless of driving record.

  27. Auto Insurance By State on said:

    Auto Insurance By State
    We collected detailed information about auto insurance law, rates and companies in each US state. Please click on on your state in order to find out more about auto insurance rates, law and companies in your state.

  28. sharon farley on said:

    State farm tells me i have to take medical because Medicare will not cover me in a car accident (i have blue cross/blue shield as a supplemental insurance) i live in michigan. Is this true??

  29. Assurances malus on said:

    FRench assurance is not like that :( but it’s good to know. Nice post!

  30. Michigan Driver on said:

    Where is the list of BEST insurance companies? Currently, I have State Farm and am dealing with an issue. The 10 worst seem to be all of them that I know of. Who are the best, especially when I have a daughter who is a new driver?

  31. big lifted trucks on said:

    My suggest will be that there is not such thing called the best insurance, mean you look out for what is good for you depending upon your needs and also one more thing all the laws are some so if some insurance company is giving a discount that means it is recovering the discount for some other thing or clause….
    Kevin

  32. ezauto shippers on said:

    The worst thing about Michigan Insurance Companies is the fact that they do business there. The insurance laws in the state are ridiculous. If I owned an insurance company I would not be in business there. I used to handle claims and hated it when I got one from Michigan. Now I own an Auto Transport company and I try to avoid the state as much as possible. No Fault insurance is terrible for everyone except the person who chooses to take the $200 ticket if they get caught without it.

  33. Dan Schwartz on said:

    Michigan has a whopping 38% of uninsured drivers on the road.
    Michigan is ONLY state with UNLIMITED MEDICAL BENEFITS for LIFE!
    Michigan has more rehab centers per capita than any other state because of the liberal benefits.
    Michigan is one of the most generous states when it comes to Workers Compensation benefits
    Michigan has the highest unemployment rate.
    Once someone taps into the lucrative disability benefits there is no incentive to go back to work.
    Unions have destroyed Michigans manufacturing base.

  34. Motorcycle trader on said:

    American Family screwed me over and I found out that they were on the list of worst companies, after the fact, when it comes to claims. What are the 10 BEST Insurance Companies??

  35. Kimberly on said:

    It is unfortunate of the mazes and loopholes the insurance company take you through…I’m going through something like this right now!

    I do believe from the information that I’ve gathered about the UIM from this site is why I’m being held up for over a year now!

    I’ve been in the dark this whole time….I’m so glad God directed me to this site!!!’ A Good mans footsteps are ordered by the Lord’!

    It popped up on Facebook! I will be giving you a call tomorrow! Thank you so much for your honesty!

    @Motorcycle trader: I would like to know the 10 Best Insurance Companies as well…

  36. Kimberly on said:

    LITERALLY; HIGHWAY ROBBERY :-(

  37. John Sullivan on said:

    I’m glad Geico(my insurance) did not make the list. Will there be a post on good auto insurance companies?

  38. Hi, I have MI car insurance but didn’t take the medical because at the time I had medical insurance. I no longer have medical insurance and my renewal is coming up for auto insurance. Should I also take the medical insurance? Thanks, John

  39. Steve Gursten on said:

    Great news! You already have medical coverage under your Michigan No- Fault Insurance policy. And, you have had it since the first day you paid your Michigan No-Fault Insurance premium. Accordingly, by renewing, you will continue to receive this valuable protection provided by the Michigan No-Fault Insurance law.
    By way of background, coverage of medical expenses is one of the primary benefits of Michigan’s No-Fault Insurance law. Not only does the law require that all auto or truck policies provide coverage for medical expenses associated with injuries that an insured has suffered as a result of being injured in a car or truck accident. But No-Fault medical coverage for accident-related injuries is unlimited both in terms of money and time. In other words, there is no cap as to how much or how long a No Fault insurance company may have to spend for an insured’s accident-related medical expenses. If an insured’s accident-related injuries require medical care for the rest of his or her life, then that is how long the No Fault insurance company must pay for those medical expenses.
    Thank you so much for your question, John, and please don’t hesitate to call/e-mail if you have further questions.
    Yours truly,
    Steve Gursten

    • Miss Carolyn on said:

      Thank you so very much! This information is much appreciative, because I’ve only been living in Michigan 4years and ready to find just only basic automotive insurance.. In Cincinnati these prices are very,very good. The Governor should have serious round table discussion concerning these outrageous Loan-Shark automotive insurance business practices… I’m definitely going to write the format for in government concerning these Al’ Capone car coverage practices…

    • Patrick Murray Flint Mich on said:

      Steve , Since you seem to know auto insurance well. In Michigan, Who should I give my money to? I’ve never had a claim/accident/anything… But I still seem to pay through the nose. even being past 50 yrs old, It’s very maddening+ WRONG. Thanks for your input,Pat.

  40. Thank You for your helpful & detailed response.

    Thanks,
    John

  41. add progressive to worst! accident from police chase left victim disabled and unable to do anything for themself and progressive has delayed denied and with held medical treatment for over 18 months and has not paid for any of the attendant care for the past 2 1/2 years or the last 1 1/2 years of household replacement service when the person is a victim of an accident resulting from a police chase of a criminal and the victim is 100% not at fault the insurance companies should not be allowed to further victimize the victim.

  42. I was hit by a truck that ran a stop sign and destroyed me in aug 2009. I knew something was seriously wrong so my family doctor sent me for an MRI which amazingly came back normal in one day. I knew that he was wrong so I found a pain management doctor and he sent me for a second MRI it was better but didnt really compare to when the surgeon opened me up a year (YES A YEAR) later. A mess fractured vertibrae, blown disc, 6 damaged nerves fusion of my lower 3 verts with titanium, so yes this has been the worst thing we have ever been through. But it gets better the truck hit me before I got my 90 days at my new great job (I just got a letter this week that I am losing my job this month but dont worry they stopped paying me in july. I also payed extra for 100% pay and excess medical from Auto-Owners but they sent me to there scumbag Medicolegal which amazingly didnt take xrays and saw me for 10 minutes and a couple days later said I was normal and should return to work BULLSHIT!!! I can only sit for 30 minutes max then have to lay down my life absolutely sucks and I blame it all on Auto-Owners and Medicolegal for ruining my families lives I would like to meet the CEO of Auto-Owners and ask him a couple of questions. P.S. I will never stop till I get everything I deserve

  43. BornMichigan&MovedAround on said:

    Okay, first let me say I also think “Insurance” is a racket. Most of us no-matter where we live have paid several thousands of dollars for Auto Insurance alone and never collected or collected a minute amount. Yet… our insurance rates have risen? Inflation? What? No idea. I used to hate it when I got a “good driver” notice or award in the mail from my insurance company… it always said I was going to get a small discount, then three months later they always sent me a letter saying rates went up everywhere and it was always more than the discount I had received. What a friggin JOKE! They are literally Highway Robbers!!! And as someone else pointed out WE continue to pay for their lobbyists!! Of course government is going to bow to their every beckoning… they’re in their pocket just like the insurance companies are in our pockets!

    Another reason the RATES are so high in Michigan is because we have “No Fault” insurance… meaning whoever carries Your policy Pays For Your Damages… not whoever Caused the accident. Thats a very DUMB type of insurance because it doesn’t punish the person that is a bad driver. Another thing… every state I’ve been in they also have in all policies a coverage for: uninsured motorists and under-insured motorists so don’t LET an insurance company tell you that you aren’t covered even if its not Your insurance company and you live in Michigan… what a crock of shit… more fear or dis-information tactics by insurance companies. Think I’m kidding you… look at your policy and you’ll see you pay extra for those drivers without insurance. ;)

    In Ohio it is illegal to ask for Proof of Insurance when you get your plates or tags… how dumb is that? LOL! A lot of people, especially younger people in Ohio buy insurance paying only for the first month then cancel their policy just so they can pull out the POI if they get pulled over. If you get pulled over for any reason, the State Dept. sends you a nice little letter requiring POI for a “range” of time… if you can’t provide it then you pay a fine and lose your license as well as get put on high risk once you do get your license back. It sort of works but it also has its problems.

  44. Michigan law sucks!

  45. John G.Stedman on said:

    11/05/1973 no-fault claim stopped paying in 1995, now have reopened claim and it’s been a real joke and I come from the industry… Michigan needs Big change like the mcca fee of $143.09 per vehicle! but coverage is per household members…

  46. Teena Powell on said:

    Very informative but I would also like a list of the best auto insurance policies. If one gets in an accident can one just pay for the equipment needed in the home and the in-home care themselves and then later fight with the insurance company later to get reimbursed. I am on Medicare and they are not responsible. We have gotten this stall tactics ourselves when we were young after a house fire. The insurance company was Alstate. I take from all these comments that we should not depend on the insurance adjuster for anything but call the insurance adjuster first and then if he does not immediately get back to us the call a personal injury lawyer. We should call right from the hospital before we are discharged if we are able to.

  47. Steven M. Gursten on said:

    Teena, Funny you should ask. I am currently ordering the policies of all the big automobile insurance companies in Michigan and will shortly be writing blogs on who which insurance companies I do recommend. In the past, my favorite has been Grange.

  48. I was in an accident on Jan. 9th. My insurance company Allstate has been excellent. My car was deemed a total loss by the adjuster by the 11th. I had my check by the 17th. They paid me above the retail KBB value. I was also reimbursed my Emergency room deductible in less than a week. Allstate has been nothing but the best. Keeping my fingers crossed about the rate increase.

  49. My friend had severe car accident two years ago in Ann Arbor, Michigan, severly damaged from brain and spinal cord, end up on wheel chair, the insurance company denied, delayed and with hold medical treatment, my friend is sitting home, can’t do thing by himself, his lawyer is not that strong, my firend is deppressed, he used to be a working man ( truck driver) who works 24/7, now he is in devastation, having a wife and four children that he can’t support, wht will the next step to do, to hire a new lawyer, would the State of Michigan will do something for this poor man.

  50. Soultana on said:

    I Had Rummel Agency, and my insurance was through Frankenmuth Insurance Co.
    My car Insurance increased from $360/year to $600. No accidents no tickets. I ask why the insurance increased almost double? I was told if I add my house with Frankenmuth I will get a big discount. Other wise I had to pay this increases.
    Then car increased from $360 to $420 and my house was increased $30 more.
    They are exports in collecting your money but when it comes to serve you,
    they do not know you.
    DO NOT purchase insurance from them. They will start low, then they will rip you off and dump you on the curve.
    You will not be in good hands with Frankenmuth and Rummel.

  51. Soultana on said:

    The state of Michigan should set up prices for Auto and home insurance, because the Auto insurance companies have no limits of how much they will charge you.
    They are loose like the devil doing what they want to do.

  52. Soultana on said:

    DO NOT Purchase insurance form Rummel Agency and Frankenuth insurance.
    They are a bunch of crooks. They starting you low payments then they ripping you of by doubling increasing the price, then they dump you on the curve since you will not afford it.
    You will not be in good hands when it comes to an emergency.

  53. Soultana on said:

    Rummel and Frankenmuth insurance are excellent in collecting your money and doubling the prices, but when it comes to serve you they are worthless!
    All they are just a face front, and no more.
    They serve who they want, but not every body who pay them.
    Don’t find your self uninsured as i did. Avoid them as much as possible.

  54. Soultana,
    You are 100% correct about Frankenmuth and Rummel. Gary Rummel, of the Rummel agency and the recently retired CEO of Frankenmuth are very close friends. Gary has been a frequent guest of very pricey trips compliments of Frankenmuth Insurance. One trip to Europe and the Greek islands was for about 90 people and cost 5 million dollars for a week. You can’t fork out that kind of dough for luxury trips AND pay claims!!!! Until the people of Michigan start mandating legislative efforts to control these self-indulgent corporate executives this gouging of the working class will continue. Premiums are no longer to fund the claims of the unfortunate, but rather to fund the ridiculous over-the-top lifestyles of the greedy executives. Frankenmuth even stopped it’s pension plan for employees the same year they took the 5 million dollar trip!

  55. Milwaukee Auto Transport on said:

    The state of Michigan should set up prices for Auto and home insurance, because the Auto insurance companies have no limits of how much they will charge you.
    i really like your post thanks for sharing.

  56. sam mill on said:

    Yes statefarm is the worst Insurance company C.E.O Edward Russ made $$$
    11.6 million in 2006 I can only imagine what he’s making now in 2011. let me know
    All of you are so right we must unite and write,write to our law makers. I wrote
    to president Obama about state farm,got no response. All of you should let
    the next president of the united state know we want reform for the better in insurance companies.
    Also you must tell every one to stay away from state farm and if
    you know of anyone who is an agent for statefarm tell him/her to switch to a better
    company. They should not represent a bad company like statefarm.

  57. Debbie Duncan on said:

    Here I sit reading this article because I have been unemployed in Michigan for over 3 years. My renewal through AAA was due 6/9/2011, I don’t have the money to pay for it. I have never been without car insurance. My rates jumped again, based on my credit score not my driving record. The last accident I had was 2001 and a teenage hit me and received the ticket, yet my rates continue to go up. As I looked at the policy and the rating because of current collections, and the fact I have no insurance, well yes I have collections, I am broke because of the economy and no unemployment, only State aid, but the state doesn’t pay my car insurance. So here I sit unable to drive. What do I do? not that my policy has lasped any other insurance company that picks me up will penalize me again because I couldn’t pay the 242.00 per month they want to cover an 11 year old car.

    Do you have any suggestions and is there anything I can do to help you fight the insurance companies in Michigan.

    I never wanted to leave Michigan born and raised here, love the four seasons, but now all I can think of doing is leaving. They keep knocking you when you are down.

  58. Debbie Duncan on said:

    actually I meant now that my policy has lapsed.

  59. Melinda on said:

    Just to let everyone know,I had GRANGE,and they are no different,I was in a auto accident,the at Fault driver had no insurance. For 3 months I kept calling them in reguards of my injurys,and they kept telling me I did not have the right kind of coverage,I instisted and just called an attorney,I told him the problems,the attorney assured me I had coverage,and he gave me the MI Law Code and advised me to call them right now and give them this information,so I did.The Next day I recieved a call from GRANGE,INS and they admitted that YES,I did have coverage. But they are giving me all kinds of problems. The accident was in Dec.2010 and I have not gotten anywhere I have hired an attorney.Thanks

  60. nana5682002 on said:

    i know someone who was run over by an uninsured driver, she had pioneer, but was not a primary driver the insurance company did not pay she has a ton of medical bills now and has still not healed from the accident, they did not even get anything out of the man who ran her over, and the insurance company just said she had a preexsisting condition. This condition is the fact that she lost her leg at two years old which has never hindered her ability to do anything she wanted to,it wasnt untill this accident that her way of life activities were hindered but not according to pioneer and their lawyers

  61. I am conducting reasearch on why Michigan’s insurance rates are so much higher than other states. Reading these blogs have really infuriated me to no end. I read a RAND study that says our rates are high because of the PIP insurance we pay , but I don’t believe that. I believe it’s for other reasons but I’m not sure how to go about figuring that out, any ideas from the bloggers on what areas I really should be looking at? I don’t believe crime is the reason either but that’s all I can come up with and the number of accidents per state.

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