Car accident claims: what to do next in Michigan

Who pays first: PIP

Michigan law requires no-fault insurance on every car that must be registered here. Your own insurer pays personal protection insurance, or PIP, no matter who caused the crash. The state insurance office says every policy must have PIP as one of three basic coverages.

Since July 1, 2020, drivers choose a PIP medical level. The choices include no limit, $500,000 or $250,000 per person. People on Medicaid can choose $50,000, and people with Medicare Parts A and B can opt out, if their household members have other coverage. If you did not choose, the policy has no limit by default. Michigan is the only state where unlimited PIP medical coverage is still a choice.

Source: Michigan Compiled Laws 500.3107c: PIP medical coverage levels · as of Oct 5, 2026

Source: Michigan Compiled Laws 500.3107c: PIP medical coverage levels · as of Oct 5, 2026

PIP also pays lost income for up to 3 years after the crash, cut by 15 percent and up to a monthly limit. It pays up to $20 a day for help with everyday tasks you cannot do.

Source: Michigan Compiled Laws 500.3107: PIP expenses and work loss · as of Oct 5, 2026

A PIP claim, including medical bills, is late if it is not paid within 30 days after the insurer gets proof of the loss. Then the insurer owes 12 percent simple interest on the late amount.

Claiming against the other driver

You can sue the driver at fault for pain and suffering only after a death, permanent serious scars, or a serious impairment of body function. That last term means a problem with an important body function that others can see or detect. It must affect your general ability to live your normal life. There is no set time it must last.

You can also claim medical bills, lost wages and survivor losses above your own PIP limit. For crashes after July 1, 2020, you can claim up to $3,000 for damage to your car that insurance does not cover. This is often called a mini-tort claim, and it is brought in small claims court.

Source: Michigan Compiled Laws 500.3135: Limits on suits for pain and suffering · as of Oct 5, 2026

How fault is shared

Michigan uses comparative fault. In a car crash claim, you get no pain and suffering money if you are more than 50 percent at fault. Money for your other losses is cut by your share of the fault. If you drove your own car without the required no-fault insurance, you cannot claim pain and suffering.

Coverage drivers must carry

For policies issued or renewed after July 1, 2020, the standard injury coverage is $250,000 per person and $500,000 per crash. You can sign a form to choose lower limits, but not below $50,000 per person and $100,000 per crash. Property damage coverage of $10,000 applies to crashes in another state.

Source: Michigan Compiled Laws 500.3009: Liability policy limits · as of Oct 5, 2026

Source: Michigan Compiled Laws 500.3009: Liability policy limits · as of Oct 5, 2026

Source: Michigan DIFS: Choosing bodily injury coverage · as of Oct 5, 2026

Michigan policies also include property protection insurance. It pays up to $1 million for damage your car does in Michigan to things like buildings and fences. It also pays for damage your car does to a car that is parked the right way. It does not pay for other damage to cars.

Source: Michigan DIFS: Auto insurance FAQ · as of Oct 5, 2026

Reporting the crash

After a crash, drivers must stop and share their name, address and plate number. They must also help anyone who is hurt get medical care. If anyone is hurt or killed, or if property damage looks like $1,000 or more, the driver must report the crash right away to the nearest police station or officer. The police send each report to the Michigan State Police.

Source: Michigan Compiled Laws 257.622: Reporting crashes to police · as of Oct 5, 2026

Police fill out the state crash report, called the UD-10. To file one, contact a local police agency or a Michigan State Police post. Report a crash right away, because a late report is up to the police to accept. A copy of the report costs $15.

Source: Michigan State Police: Traffic crash reporting FAQ · as of Oct 5, 2026

Deadlines

Most Michigan injury lawsuits must be filed within 3 years of the injury. A claim for a death also has 3 years, and the person handling the estate may get extra time.

A lawsuit for PIP benefits from your own insurer has a 1-year rule. It must start within 1 year of the crash, unless you sent the insurer written notice of the injury within that year or it already paid benefits. In that case, you can sue within 1 year after your most recent cost. You can only get back costs from the year before you sue.

Michigan has a 3-year limit for injury lawsuits and a much shorter 1-year rule for PIP claims, and exceptions can apply. People's Justice is not a law firm. We do not review your crash or recommend a lawyer. If you want, you can use the form on this page to ask to be connected with a law firm that pays us to advertise.