Published by RGC Insurance
What changed
- PIP became a choice. Unlimited stopped being mandatory; six levels appeared, each tied to health-coverage eligibility rules.
- Default BI limits rose. Higher default liability limits apply unless you sign down to the statutory minimums.
- A medical fee schedule arrived. What providers can charge auto insurers was capped, reshaping care economics — especially long-term attendant care.
- MCCA assessments changed. The catastrophic claims charge now varies by whether you keep unlimited PIP.
- Rating factors tightened. Certain non-driving factors were restricted in pricing.
What didn't change
- Michigan is still no-fault: your policy still pays your injuries first.
- Lawsuit thresholds still exist — serious injuries still create liability, which makes BI limits matter more, not less.
- Broad/Standard/Limited collision — Michigan's oddball trio — survived untouched.
- Mini-tort survived, with a higher cap than the old days.
Written since 2020 and never reviewed? Elections made in the reform's confusion — a rushed PIP level, signed-down BI limits, a health plan that's changed twice since — deserve a fresh look. That review is free and takes minutes.
The honest scorecard, five years on
Some households saved real money, particularly Medicare and Medicaid households using the new levels correctly. Others chased PIP savings into exposure they didn't understand, or watched savings erode as base rates climbed anyway. The reform's real lesson: Michigan auto insurance became a set of personal decisions, and decisions age. We re-open them at every renewal — that's the job.