MI vehicle insurance question

[mjkaliszak]

I currently have 2 vehicles under full coverage and 3 with limited liability. 5 vehicles total. My question is regarding PIP or personal injury protection. Do I need it in addition to the full coverages of the policy limits ? Secondly, My employer insurance kicks in as second insurer ( so policy limits are primary coverage ). I seem to be getting charged for an additional approx $200 per car, per year, for PIP which is in addition to the policy limits and the employer insurance we have.

Hope this makes sense but I'm kind of thinking that I don't need PIP ( a 3rd coverage for medical injuries ) since MI lets you OPT OUT of it.

Any insight on this ?
Thanks

 

[mezz]

mj, the first thing, PIP is part of the Mandatory No-Fault Law, as such, you cannot opt out of this coverage. Keep in mind, the "Liability" (meaning Third Party) coverage protects you in the event of a lawsuit due to Bodily Injury & Property Damage. The Liability coverage is seperate from your "PIP" (Medical) coverage. Your PIP coverage should be "Coordinated" or "Excess" with your "Primary" medical insurance, meaning, your personal health insurance pay's first, then your auto.
In Michigan, we are all paying for an unlimited amount of medical insurance, this comes via the MCCA (Michigan Catastrophic Claims Assessment) that we pay in Addition to the PIP Premium.
This is something that should have been reviewed long ago & has now come to some serious discussion for change. This reform is long overdue, especially when you consider that you or I cannot go out and purchase a Health Insurance Plan with an Unlimited amount of coverage, most policies provide a 3 or 5 million dollar maximum lifetime benefit. I hope that helps.-Mezz

 

[snow_monkey]

When you have more than a few cars you can save by way of the multi car discount. Most insurance companies will not give the discount across the board. I split my 4 cars into two different companies and saved even more.

 

[mjkaliszak]

My insurance co is saying I can opt out of the PIP due to MI not requiring it. It is part of the MI no fault that I already pay for. There is an additional PIP from my insurer ( USAA ) an ex military / military & family member company. I'm thinking that I'm good with 150/300/150 and no PIP ???? It adds up to about a grand .... I think it is fluff that costs me more and I willl or hopefully never need to use it.

 

[mezz]

My insurance co is saying I can opt out of the PIP due to MI not requiring it. It is part of the MI no fault that I already pay for. There is an additional PIP from my insurer ( USAA ) an ex military / military & family member company. I'm thinking that I'm good with 150/300/150 and no PIP ???? It adds up to about a grand .... I think it is fluff that costs me more and I willl or hopefully never need to use it.

You are either misunderstanding or your agent is wrong, PIP is part of the mandatory Michigan No-Fault provision. If you are being charged over & above what the State of Michigan requires, then you have been clearly taken advantage of.-Mezz

 

[mjkaliszak]

I was misunderstanding .... ( go figure ). I talked with my neighbor last night, we got out my declarations page and went thru it item by item. I have to inform my ins co that my medical benefits coordinate. Darn, this stuff gets confusing, being that I don't trust " the system " I do my own research and end up confusing myself. It just seems everywhere I turn someone is always looking to get as much of your money as they can, thanks for the help. I guess I have to pay.

 

[mezz]

When you have more than a few cars you can save by way of the multi car discount. Most insurance companies will not give the discount across the board. I split my 4 cars into two different companies and saved even more.

??? I've been doing this for 25 years as an Independent Agent. I have never heard of that, generally, if a company is offering a Multi Car Discount, it does apply to All vehicles on the policy. I don't believe they can limit it due to how they are filed with the State ISO. I have seen companies limit the number of vehicles on a given policy, however, a sperate policy can be written with that same carrier which would allow the continued Multi Car Discount, even if the second policy only contained one vehicle.-Mezz

 

[mezz]

I was misunderstanding .... ( go figure ). I talked with my neighbor last night, we got out my declarations page and went thru it item by item. I have to inform my ins co that my medical benefits coordinate. Darn, this stuff gets confusing, being that I don't trust " the system " I do my own research and end up confusing myself. It just seems everywhere I turn someone is always looking to get as much of your money as they can, thanks for the help. I guess I have to pay.

Glad to help, this is what your Agent is for, unless your dealing with 1-800-WHO-CARES, then you don't have an Agent, you have a company representative. Very different than dealing with an Independent Agent.-Mezz