Michigan No Fault Family Coverage
A Michigan no fault policy covers all family members living in the same house. Personal injury protection benefits are paid even when a family member is a passenger in another person’s car or is a pedestrian when an accident takes place. The personal injury protection coverage of your Michigan no fault policy also covers anyone who does not have a no fault policy and is hurt as a passenger or pedestrian in an accident involving your car. It will also cover a motorcyclist who is hurt in an accident involving your car. This is pretty unique to Michigan, many states do not offer such coverage in these incidents.
Michigan Auto Insurance Step-Down Clauses
There have been reports of insurers including a “step-down” clause. What this essentially means is that if a person is unrelated to you, the insured person, and that person is injured while riding in your car, they may get more coverage than your own family. While with Michigan No-Fault, you are gaurenteed medical coverage for life in case of an accident, a step down clause does impact liability claims, such as lost wages
This can have dramatic impact on insurance claim payments as reported in this WoodTV Special Investigation
This is only a brief summary of Michigan no fault insurance. For more information read your policy, talk to your agent,