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Because I Said So...
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1,081 Posts
Discussion Starter #1
I've been looking this over, and I'm not sure what I'm going to do yet.

have any of you made a decision? I'm leaning towards the $500,000 PIP option.

For policies issued or renewed after July 1, 2020, insurance companies are subject to the following overall statewide PIP coverage premium reductions:

An average 45% or greater reduction per vehicle for the $50,000 PIP option
An average 35% or greater reduction per vehicle for the $250,000 PIP option
An average 20% or greater reduction per vehicle for the $500,000 PIP option
An average 10% or greater reduction per vehicle for the unlimited PIP option

https://www.michigan.gov/autoinsurance/0,9555,7-405-96601_96926---,00.html
 

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I'll Direc your TV
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8,437 Posts
Haven't looked into it much yet, My policy is going until October, so I am going to look more when I renew it.

From reading it, doesn't look like I will qualify for the rate decrease if I just change my coverage on an existing policy.
 

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Gustafson
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9,046 Posts
I've been looking this over, and I'm not sure what I'm going to do yet.

have any of you made a decision? I'm leaning towards the $500,000 PIP option.

For policies issued or renewed after July 1, 2020, insurance companies are subject to the following overall statewide PIP coverage premium reductions:

An average 45% or greater reduction per vehicle for the $50,000 PIP option
An average 35% or greater reduction per vehicle for the $250,000 PIP option
An average 20% or greater reduction per vehicle for the $500,000 PIP option
An average 10% or greater reduction per vehicle for the unlimited PIP option

https://www.michigan.gov/autoinsurance/0,9555,7-405-96601_96926---,00.html
Before anyone goes "hooray I can save lots of money" make sure you are aware of what you are getting yourself into. I spoke with my agent recently and under the current law, if you are in an accident and injure another driver, your assets are protected. Meaning they can't go after your house, cottage, money in the bank, etc. Under the new law, they can.... For this reason I have added a million dollar umbrella policy that covers my home, cars, etc.

This insurance change opens people up to the potential risk of losing everything. Be smart, saving money on your auto insurance could cost you everything you have.

EDIT: The new law goes into effect July 2nd. I don't think it matters when your policy expires.
 

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Registered
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525 Posts
No way, the govt tried to help reduce cost, but will instead cause increases?

Total shocker. The government usually makes it better when they get involved.
But I'm sure along with the increased cost it will reduce coverage and protection for the average consumer. :woot:
 

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Because I Said So...
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1,081 Posts
Discussion Starter #9
I moved to Michigan from Illinois 25 years ago. Even then, I was surprised by how high car insurance was.

I think MI is right at the top for states with the highest costs for auto ins.

I'm glad something is changing.

And, with a lot of this type of stuff, It may take a few more changes before the regulations are appropriate and everything gets sorted out.

But, I'll take it.

So, back to my original question.

I've done some more digging, talked to my agent, read all the state provided info, etc.

I've got good medical coverage and an umbrella policy covering my assets.

I'm leaning toward changing my coverage to $500K to start. That's a 20%+ savings over where I'm at now.

I'm currently insuring 6 vehicles, so this will be a significant savings for me.

I'm interested in hearing what you guys are doing once you figure it out.
 

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Gustafson
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9,046 Posts
I moved to Michigan from Illinois 25 years ago. Even then, I was surprised by how high car insurance was.

I think MI is right at the top for states with the highest costs for auto ins.

I'm glad something is changing.

And, with a lot of this type of stuff, It may take a few more changes before the regulations are appropriate and everything gets sorted out.

But, I'll take it.

So, back to my original question.

I've done some more digging, talked to my agent, read all the state provided info, etc.

I've got good medical coverage and an umbrella policy covering my assets.

I'm leaning toward changing my coverage to $500K to start. That's a 20%+ savings over where I'm at now.

I'm currently insuring 6 vehicles, so this will be a significant savings for me.

I'm interested in hearing what you guys are doing once you figure it out.
Well, to answer your original question. IF there is a 10% reduction in cost and I can have unlimited, that is what I will be doing.
 

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Registered
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3,622 Posts
I moved to Michigan from Illinois 25 years ago. Even then, I was surprised by how high car insurance was.

I think MI is right at the top for states with the highest costs for auto ins.

I'm glad something is changing.

And, with a lot of this type of stuff, It may take a few more changes before the regulations are appropriate and everything gets sorted out.

But, I'll take it.

So, back to my original question.

I've done some more digging, talked to my agent, read all the state provided info, etc.

I've got good medical coverage and an umbrella policy covering my assets.

I'm leaning toward changing my coverage to $500K to start. That's a 20%+ savings over where I'm at now.

I'm currently insuring 6 vehicles, so this will be a significant savings for me.

I'm interested in hearing what you guys are doing once you figure it out.



My Mom got messed up real bad about 10 years ago in a crash she needs 24/7 care the unlimited is the only way to go.


RBB
 

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Gustafson
Joined
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9,046 Posts
My Mom got messed up real bad about 10 years ago in a crash she needs 24/7 care the unlimited is the only way to go.


RBB
I'm sorry to hear about your mom Bob.

Thank you for your comment though. it gets people thinking about why unlimited is an option, and a good one at that.
 

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Registered
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3,622 Posts
I piss away so much stupid money having unlimited coverage is the least I can do to protect my wife and kids from shit going South, my Dad would have been ruined if it was not for his AAA




RBB
 

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2 Posts
I saw the change in my policy a few weeks ago. I elected for the unlimited
The same happened to me. I don't get it, why don't they notify their clients about such changes?.. A lot f insurance companies not just notify their clients about such things, but even write down articles in their blogs, like here ( website: https://www.americaninsurance.com/what-recoverable-depreciation ), explaining people and their clients as well, a lot of advises and information how exactly should they react on some circumstances.
 
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