Car Rental In Michigan: Do I Need Insurance?

Spending a few extra dollars to purchase the additional auto insurance coverage offered with your car rental in Michigan is a very wise decision — and one that can save you tens of thousands of dollars if you’re ever in an auto accident.

Lawyers will usually tell you that purchasing the additional rental car insurance in Michigan is even a good idea if your rental car is covered under your own No-Fault insurance policy. Here’s why:

• If another person gets injured – Rental car bodily injury coverage (the amount your insurance will pay to another if she is injured in a car accident) will likely be capped at the minimum required coverage of $20,000, according to Michigan law. This leaves you dangerously exposed to an excess judgment if the injuries you caused are serious.
• To cover collision damage – Even when the rental car company offers residual bodily injury coverage, it will likely fail to cover vehicle damage and collision repairs. This expensive gap in insurance coverage can result in you having to pay for all the car accident property damage from your own pocket.
• Long-term vehicle rental agreements – Under state law, a long-term lease of 30 days will make you an “owner” of the vehicle. This is important, because your own Michigan No-Fault insurance policy will not apply to long-term car leases of 30 days or more.

To determine if your car rental in Michigan is covered under your own No-Fault insurance, check your policy or call your insurance representative. Many Michigan insurance companies now have exclusions or exceptions that apply to rental vehicles.

It’s still best to purchase the additional insurance coverage for your rental vehicle, even if it may be covered by your own insurance, and even if there are no exceptions or exclusions on coverage.

If you have questions, or have been in a car accident involving a Michigan rental car, call now (800) 968-1001 for a free consultation with an experienced car accident lawyer. There is no cost or obligation. You can also visit our contact page or use the chat feature on our website.

Michigan Auto Law is Michigan’s largest and most successful law firm that specializes exclusively in helping people who have been injured in auto accidents.

Our secret? Our attorneys deliberately handle fewer cases than other personal injury law firms.  This allows us to focus more time and attention on our cases.

Unlike other law firms, our attorneys are never too busy to promptly return phone calls and answer questions. 

We have more than 2,500 5-Star reviews that reflect this care and attention to detail.

More importantly, this client-focused approach leads to better and faster settlements for our clients. Michigan Auto Law has recovered more million-dollar settlements and trial verdicts for motor vehicle accidents than any other lawyer or law firm in Michigan. We’ve also recovered the highest ever reported truck accident and car accident settlement in the state.

Call now so we can start making a real difference for you.