Removing Vehicle Insurance In Michigan

Driving without insurance in Michigan is considered a misdemeanor and can result in fines, jail time, and license suspension. The consequences of driving without insurance can be severe, including the inability to sue an at-fault driver for damages and the requirement to reimburse the insurance company of the negligent driver. Michigan has some of the harshest penalties for uninsured drivers in the nation, and it is crucial for vehicle owners to carry the mandatory No-Fault auto insurance to comply with the state's legal requirements.

Fines of up to $500 and/or jail time of up to a year

Driving without insurance in Michigan is considered a misdemeanor and carries severe penalties, including fines of up to $500 and/or jail time of up to a year. These penalties are designed to deter people from driving without insurance and to protect other drivers in the event of an accident.

If you are caught driving without insurance in Michigan, you will be fined between $200 and $500. The exact amount of the fine is usually determined by a court, and it is essential to remember that this is separate from any other financial consequences you may face due to driving without insurance.

Additionally, driving without insurance can result in jail time of up to one year. This means that if you are convicted of driving without insurance, you may be sentenced to serve time in jail for up to one year, depending on the specifics of your case and the severity of the offence.

The penalties for driving without insurance in Michigan also include the suspension of your driver's license. This means that if you are caught driving without insurance, your license will be temporarily taken away, and you will be unable to drive legally. The length of the suspension can vary, but it is often aligned with the other penalties imposed, such as the duration of jail time or the amount of the fine.

Furthermore, if you are caught driving without insurance, you will be required to pay a service fee to reinstate your license once the suspension period is over. This fee is typically around $125, but it can vary depending on the specific circumstances and the requirements of the state.

It is important to remember that driving without insurance in Michigan is a serious offence with significant consequences. The penalties are designed to deter people from taking the risk and to protect all drivers on the road. If you are caught driving without insurance, you will face a combination of these penalties, and the impact on your life can be substantial. Therefore, it is always best to ensure you have the required insurance coverage before getting behind the wheel.

Loss of driving privileges and license plate renewal

If your driver's license has been suspended or revoked, you will need to follow the appropriate steps to reinstate it.

Suspension

If the suspension period is over, you may pay your reinstatement fee through Online Services or by mail. In certain situations, you may need to visit a Secretary of State branch office to reapply for your license. The reinstatement fee is $125, but you may owe multiple reinstatement fees depending on your situation. Additional fees may also be due at the time of reinstatement.

Revocation

If your driver's license has been revoked, you may need to apply to the Office of Hearings and Administrative Oversight or Circuit Court for an appeal hearing before your driver's license can be reinstated.

Hearings

Many suspensions and revocations either require or can be shortened by an administrative hearing. Hearings can be requested online using DAIS (Driver Appeals Integrated System) or by submitting a Request for Hearing form and a Substance Evaluation Form to the Office of Hearings and Administrative Oversight.

Reexamination

If you are scheduled for a driver assessment reexamination, you will receive a Notice to Appear telling you when and where to go. Your reexamination will include time for the driver assessment analyst to review your driver record and discuss your driving behavior with you. You may be required to pass vision and knowledge tests, as well as an on-road performance test. At the conclusion of your driver assessment reexamination, your license may be unaffected, or it may be restricted, suspended, or revoked. If you are approved for re-licensure, you may be required to pay the appropriate licensing and reinstatement fees.

License Plate Renewal

To renew your vehicle registration, tab, and license plate, you can use Quick Renewal or log in to renew online. You will need your license plate number, the last four digits of the Vehicle Identification Number (VIN), and a valid debit or credit card or bank account number for payment. After completing your renewal, print your updated vehicle registration from your browser. Your renewed tabs will be mailed to your registered address.

If you are unable to renew your license plate online, you can renew by mail. Check your renewal notice to see if you're required to submit a copy of your valid Michigan No-Fault vehicle insurance policy. Mail your renewal notice, payment, and a copy of your insurance policy (if required) to the Michigan Department of State Internal Services Section. A pre-addressed return envelope will be included with the renewal notice.

You can also renew your license plate at a self-service station or at any Secretary of State office.

No legal recourse against at-fault drivers

In Michigan, No-Fault Auto Insurance Law requires non-residents to maintain a valid No-Fault auto insurance policy on their vehicle if they drive in the state for more than 30 days per year. Non-compliance with this law can result in severe consequences, including possible jail time, fines, and denial of benefits and compensation in the event of a car accident.

Now, what happens if you get into a car accident and the other driver is at fault? In Michigan, you have the option to file a car accident lawsuit, also known as an "auto negligence claim" or "liability claim," against the at-fault driver. This allows you to seek compensation for damages that your no-fault insurance benefits may not cover. However, there are specific requirements that must be met to proceed with this type of claim.

Firstly, you must be able to prove that the other driver was at fault for the crash. This involves demonstrating negligence, which legally means the failure to act as a reasonably careful person would under similar circumstances. Violations of the Michigan Motor Vehicle Code, such as speeding, running a stop sign, or failing to yield, are considered evidence of negligence.

Even if you share some responsibility for the accident, you may still be able to recover damages, although the amount will be reduced by your percentage of fault. This is known as "comparative fault." It's important to note that if you are found to be more than 50% negligent, Michigan law states that you cannot recover any compensation for non-economic loss.

When seeking non-economic damages, which include pain and suffering and other quality-of-life losses, you must also show that your injuries are "serious enough." This is known as a "threshold injury" and is defined as a "serious impairment of body function," "permanent serious disfigurement," or death. An experienced car accident lawyer can help you assess whether your injuries meet this threshold.

Additionally, there may be potential claims for economic damages, such as medical expenses and lost income, that exceed the coverage provided by your no-fault insurance. These claims can be pursued against the at-fault driver to ensure you receive adequate compensation.

In summary, while Michigan's No-Fault Auto Insurance Law provides some coverage, it may not be sufficient in the event of a serious accident. If you find yourself in this situation, consulting with an experienced car accident lawyer can help you understand your options for seeking additional compensation from the at-fault driver.

Ineligibility for No-Fault benefits and compensation

In Michigan, No-Fault Benefits are available to all parties involved in a motor vehicle accident, except for those who were driving a car that they owned with no insurance. This means that pedestrians, bicyclists, and motorcyclists are entitled to No-Fault Benefits. However, there are certain situations in which a person may be ineligible for No-Fault benefits and compensation.

Firstly, it is important to note that non-Michigan residents who drive their vehicles in the state for more than 30 days per year are required to maintain a valid No-Fault auto insurance policy. Failure to do so will result in being considered an "uninsured" driver, leading to possible jail time, fines, and denial of No-Fault benefits and compensation.

Additionally, there are specific criteria and requirements that must be met to receive No-Fault benefits. For example, to receive No-Fault Work Loss Benefits, an injured person must be unable to work as a result of the auto accident. The No-Fault Act provides monthly work loss benefits for up to three years, payable at 85% of gross pay, including overtime. However, if a person is earning an income during their disability, this will reduce the wage loss benefit for that period.

Furthermore, to receive No-Fault benefits, individuals must complete and submit a written Application for Benefits to the proper insurance company within one year from the date of the accident. Failure to make a claim within this timeframe will result in a forfeiture of the right to receive No-Fault benefits.

Lastly, it is worth mentioning that Michigan's No-Fault Law provides specific protections for insured persons, shielding them from being sued as a result of an auto accident, except in certain special circumstances. These circumstances include causing an accident in which someone is killed, seriously injured, or permanently disfigured, or being involved in an accident with a non-resident occupant of a vehicle not registered in Michigan.

Personal liability for at-fault driver's expenses

In Michigan, drivers are required by law to purchase no-fault automobile insurance. Driving without insurance can lead to a misdemeanor charge, a fine of up to $500, a one-year jail sentence, and a 30-day license suspension.

Michigan's no-fault insurance protects insured persons from being sued as a result of an automobile accident, except in certain situations. This includes when the injured party does not have enough coverage to pay for treatment or when payment must be made to compensate for the death or serious injury of another person.

If a person is found legally responsible for damages in these situations, their bodily injury liability limit will pay for such damages, but only up to the amount of the limit they choose. The driver will be required to pay any amount over the limit they choose, which could lead to severe financial consequences, such as:

• Assets being seized
• A lien being placed on their home
• Wages being garnished
• Their driver's license being suspended

Michigan's new auto insurance law, which came into effect for policies issued or renewed after July 1, 2020, allows drivers to choose their Personal Injury Protection (PIP) medical limit. The PIP medical coverage options are:

• $500,000 per person per accident
• $250,000 per person per accident
• $250,000 per person per accident with exclusions (one or both of the following must be met):
• The named insured who is excluding PIP medical has qualified health coverage that is not Medicare
• Any resident relative or spouse who is excluding PIP medical has qualified health coverage
• $50,000 per person per accident (both of the following must be met):
• The applicant or named insured is enrolled in Medicaid
• Any spouse and all resident relatives have qualified health coverage, are enrolled in Medicaid, or are covered under another auto policy with PIP medical coverage
• No PIP medical coverage (both of the following must be met):
• The applicant or named insured has coverage under both Medicare Parts A and B
• Any spouse and all resident relatives have qualified health coverage or are covered under another auto policy with PIP medical coverage

If a driver does not make a PIP medical coverage selection, their policy will be issued with unlimited PIP medical coverage, and they will be charged the appropriate premium for this coverage.

Additionally, under the new law, if a driver is 50% or more at fault in an accident, they can be sued for up to $3,000 in damages to cover the other driver's deductible or for actual damages to their car that are not covered by collision insurance. Many consumers purchase additional liability coverage to protect themselves from this specific liability.

Frequently asked questions