Michigan no-fault choices, explained

1. PIP medical: who pays your medical bills after a crash

Personal injury protection (PIP) pays medical care for you and your household after an auto accident, no matter who caused it. You choose the level:

• Unlimited. Lifetime medical care with no cap. The only level that carries the Michigan Catastrophic Claims Association (MCCA) fee.
• $500,000 or $250,000 per person per accident. Available to anyone.
• $250,000 with exclusions. For people whose health insurance covers auto accident injuries. Household members with that coverage can be excluded from PIP.
• $50,000. Only if you are enrolled in Medicaid, and your household members have Medicaid, qualifying health coverage or their own PIP.
• Opt out of PIP medical. Only if you have Medicare Parts A and B, and your household members have qualifying health coverage or their own PIP.

A lower level lowers the premium, but anything above the limit falls to your health insurance or to you. Before choosing below unlimited, check whether your health plan pays for auto accident injuries, and how much.

2. Liability: protecting you if you hurt someone

Residual bodily injury and property damage liability pays others when you are at fault and they can sue you. Michigan's standard is $250,000 per person / $500,000 per accident. You can choose higher limits, or go as low as $50,000 / $100,000 by signing a selection form. Low limits leave your savings and wages exposed if a serious accident is your fault.

3. Property protection (PPI)

Included on every Michigan policy: up to $1 million for damage your car does to other people's property in Michigan, such as buildings, fences and properly parked cars.

4. Limited property damage ("mini-tort")

If you cause a crash, the other driver can recover up to $3,000 from you for their vehicle damage that their own insurance does not pay. Mini-tort coverage pays that for you. It is usually inexpensive.

5. Collision: fixing your own car

• Limited collision pays only when you are not substantially at fault, and has no deductible.
• Standard collision pays whoever is at fault, after your deductible.
• Broad form collision pays whoever is at fault, and waives the deductible when you are not substantially at fault.

Comprehensive is separate: it covers theft, glass, hitting an animal, fire, flood and weather. If your car is financed or leased, the lender will require both.

What to have ready for a quote

• Your current declarations page (the summary page of your policy). It shows your current choices and price.
• Driver's license numbers and dates of birth for everyone in the household who drives.
• The VIN of each vehicle, from the registration or insurance card.
• Whether your health insurance covers auto accident injuries, if you are considering a lower PIP level.

This page is general information, not advice for your situation and not a contract. Your policy's terms, the insurance company's rules and Michigan law decide what is covered. We are glad to explain how these choices apply to you.