The most important car insurance advice for young drivers in Michigan includes: (1) always have valid coverage on your vehicle; (2) buy full coverage, even though it costs more; (3) have your insurance information available; (4) use an independent agent to comparison shop; (5) ask for discounts; and (6) keep a clean driving record for lower rates.
Make sure you have valid No-Fault auto insurance coverage
The most important car insurance advice for young drivers in Michigan is to make sure you are buying car insurance. It sounds simple, but when dollars are tight, people often consider expenses like car insurance as an area where they can save money. But you must make sure that you have valid No-Fault auto insurance coverage on the vehicle because the penalties for driving uninsured in Michigan are very severe.
Driving without insurance in Michigan puts you at risk of having to pay civil and criminal fines, and even the possibility that you might go to jail, having your license suspended and not being able to renew your registration. If you’re involved in an auto accident while driving your own uninsured vehicle, then you will be prohibited from recovering No-Fault benefits and you are even barred under Michigan’s auto law from suing the at-fault driver for pain and suffering compensation and for vehicle damage repair costs – even if you are completely innocent for the car accident!
You could even be sued by the other person’s insurance company for No-Fault insurance benefits they received as a result of the car accident.
Carry full coverage auto insurance
My car insurance coverage advice for all drivers in Michigan, including young drivers, is to carry full auto insurance coverage. Specifically, my recommended auto insurance coverage options are as follows: (1) unlimited No-Fault PIP medical coverage with no deductible; (2) liability coverage of at least $500,000; and (3) uninsured motorist coverage and underinsured motorist coverage.
The UM and UIM coverage is very important because it will help you recover pain and suffering compensation if you are injured by an at-fault driver who is either “uninsured” or has inadequate liability insurance coverage.
I also recommend purchasing collision coverage and mini tort coverage (also called “limited property damage” coverage) to pay for vehicle damage repair costs in the event that your car or truck is damaged in a crash.
Do not give in to the temptation to purchase basic PLPD insurance. As a car accident lawyer, I see the consequences of this every day. The relatively small savings you may see now will not begin to pay for the expenses that you will be faced with in the future if you or your family are injured in an auto accident and you do not have the benefits and protection that comes with full coverage.
Have your insurance information in your car
An important piece of car insurance advice for young drivers in Michigan is the need for them to have their auto insurance information in their vehicle and available in case they are stopped by the police and/or in the event they are involved in an auto accident.
Generally, your insurance card – i.e., “certificate of insurance” – that you received from your auto insurer will have all the necessary information: (1) the name of your auto insurer; (2) the named insured on the policy (which is likely you if you own the vehicle you’re driving); (3) address of the named insured (i.e., your address); (4) VIN number of each vehicle listed on the policy; and (5) your auto insurance policy number. (MCL 500.3101a(1)) Whether it is during a traffic stop or at the scene of an auto accident you were involved in, you must present proof that your vehicle is covered by a valid Michigan auto insurance policy if a police officer requests you to do so. (MCL 257.328(1) and (2))
Car insurance advice for young drivers in Michigan to get the best coverage at the best price
My advice for young drivers in Michigan on how to get the best car insurance coverage at the best price is to comparison shop every year. Enlist the help of an independent insurance agent who can get you rate quotes from multiple insurance companies. You can save hundreds of dollars by using an independent agent without sacrificing essential protections for you and your family.
Do not go with an agent tied to one insurance company, like State Farm or Allstate. These are called “captive” agents in the industry because they can only quote for the insurer they work for. That means they will not tell what the best deal is for you and your family – they will only tell you the best they are able to do for you and your family with the only insurance company they can use – and often that is NOT going to be the best option at the least cost.
Car insurance advice for young drivers is to ask for discounts
Another important piece of car insurance advice for young drivers in Michigan is to be sure to find out if there are any discounts that you are eligible for, such as discounts for: (1) young drivers; (2) bundling with renters insurance; (3) safe driver; (4) new vehicle; (5) vehicle safety feature; and (6) good student.
Car insurance advice for young drivers in Michigan is to make yourself aware of the factors that affect premiums
Some more car insurance advice for young drivers in Michigan to help save on auto insurance is to make yourself aware of the factors that could affect premiums which include: (1) committing moving violations; (2) being involved in car crashes; (3) whether a driver’s car or truck has up-to-date safety features; and (4) whether a young driver regularly wears a seat belt.
Here is more information about each of those factors:
• Do not commit moving violations – If you are convicted of and/or determined to be responsible for civil infractions for committing moving violations, that can result in your auto insurer increasing your premiums. (MCL 500.2111(3)(b))
• Do not get in accidents – Car crashes in which you are deemed to be “[s]ubstantially at-fault” can cause your auto insurance company to raise your rates. (MCL 500.2111(3)(a))
• Drive a vehicle with up-to-date safety features – The “ability of [your] vehicle and its equipment to protect passengers from injury” may affect your auto insurance premiums. (MCL 500.2111(2)(a)(v))
• Use your seat belt – Auto insurers will consider your seat belt use in determining how much your premiums will be. (MCL 500.2111(2)(b)(iv)
An accident prevention course is sound car insurance advice for young drivers in Michigan
My advice to help young drivers save on car insurance in Michigan is to complete an accident prevention education course which can help in two ways. First, it may result in a reduction in a young driver’s premiums. (MCL 500.2111(2)(d)) Second, it may help the young driver be safer, thus avoiding accidents and tickets.
Were you injured in a car accident? Call the auto accident attorneys at Michigan Auto Law
If you were injured in a car accident and have questions about your legal rights to pain and suffering compensation, economic damages and auto No-Fault insurance benefits, you can speak to an experienced car accident lawyer at (248) 353-7575 for a free consultation. You can also get help from an experienced No-Fault insurance attorney by visiting our contact page or you can use the chat feature on our website.