The penalties for driving without insurance in Michigan include fines, suspension of your driver's license, and imprisonment. You can avoid these consequences by meeting Michigan’s proof of financial responsibility requirements. Michigan requires that all drivers have at least $20,000 in bodily injury liability coverage, up to $40,000 per accident, along with $10,000 in liability coverage for property damage, as well as personal injury protection.
Purchasing Michigan’s minimum liability car insurance coverage is the easiest way to satisfy the financial responsibility requirement. Drivers in Michigan pay an average of $2,508 per year to maintain the minimum amount of coverage. That’s nothing compared to the consequences of driving without insurance, especially if you get into an accident.
Penalties for Driving Without Insurance in Michigan
|Type of Offense
||License and/or Registration Suspended?
||Maximum Fines & Fees
|No Proof of Insurance (Can Prove Coverage)
||$25 mandatory fee
|1st Offense With No Coverage
||Up to 1 year
|Repeat Offense (No Coverage)
||Up to 1 year
Not having car insurance and not being able to prove that you have it are two different violations. If you have insurance but cannot prove it when you get pulled over or at the scene of an accident, you are guilty of an “administrative violation,” similar to a seat-belt ticket. In Michigan, your citation might be dismissed if you can provide the court with proof of valid insurance for the date of the citation within 14 days.
Driving without car insurance at all is much more serious, and the penalties are more severe. In addition to the legal consequences, you can also expect your car insurance premium to go up. A single conviction for driving without insurance raises annual premiums by an average of 14%, or $322, in Michigan.
What happens if you get into a car accident without insurance in Michigan?
If you get into an accident while driving without insurance in Michigan, you will be cited and all the penalties for driving without insurance will apply, no matter who is at fault. Driving uninsured can make it difficult to be compensated for damages if you are not at fault and can have long-lasting and life-changing consequences if you are at fault.
If the accident is your fault, you’ll have to pay for all the damages out of your own pocket. In addition to the legal consequences for driving without insurance, you could easily be responsible for tens of thousands of dollars or more in damage to your vehicle, the other driver’s repair and hospital bills, and your own medical care. Both the other driver and their insurance company can sue you and have future wages and savings garnished to pay for damages. You could face mounting debt or even bankruptcy, especially if the other driver doesn’t carry uninsured motorist coverage or personal injury protection.
Even if the accident is not your fault, driving without insurance leaves you vulnerable to expensive hospital and repair bills. Michigan is a no-fault state. In no-fault states, all drivers process claims through their own insurance companies, no matter who caused the crash. If you’re struck by a driver in a no-fault state and you don’t have car insurance, you’ll probably end up paying for everything out of your own pocket.
Michigan is also a “no pay, no play” state, which means uninsured motorists must pay a certain amount out of pocket before they can pursue damages from an at-fault driver. Michigan strictly limits what uninsured drivers can legally pursue. In Michigan, no pay, no play means you cannot recover damages of any kind if you are driving uninsured.
You can get car insurance in Michigan, even if you are…
Uninsured: Unless you’re a newly licensed driver, having a history of driving without insurance or lapses in coverage is a risk to insurers. To insurance companies, it’s similar to a bad driving record, which is why drivers who let their insurance lapse for 60 days pay about 48% more than the average premium in Michigan. USAA, State Farm, Nationwide, and Geico tend to have the lowest rates for drivers who want to regain coverage.
Driving someone else’s car: It’s not illegal to drive someone else’s car if you do not have insurance, but non-owner car insurance can protect you if you don’t have a car but still drive regularly. If you borrow a car from someone living in your own home, you should be listed on the car owner’s policy. But you may want to explore non-owner coverage if you need to reinstate a driver’s license, you rent or borrow cars frequently, or you want to maintain continuous auto coverage between vehicles. Geico, State Farm, Nationwide, and The General good places to shop if you need non-driver car insurance.
High-Risk: If you’re a high-risk driver who has been denied coverage from traditional insurance companies, check out Michigan’s assigned risk program. Whether you require an assigned risk program or still qualify for high-risk insurance from conventional providers, you’ll pay more. In Michigan, drivers with just two speeding tickets pay an average of 131% more on their annual car insurance premiums, for example. Depending on your driving record and the seriousness of your infractions, you could pay even more. Still, even though rates may be higher, at least you can drive legally and avoid more penalties.
Final Thoughts: How to avoid driving without insurance in Michigan
To avoid the penalties of driving without insurance, shop around for at least $20,000 in bodily injury liability coverage, up to $40,000 per accident, along with $10,000 in liability coverage for property damage, as well as personal injury protection of liability coverage from three or more car insurance companies. In Michigan, you can find basic liability auto insurance for around $2,508 per year if you have a clean driving record. The consequences of driving without insurance are ultimately more costly than purchasing minimum auto insurance coverage. No matter what your unique needs are, the best way to get accurate quotes and the best prices is to comparison shop.
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