When you drive without insurance, you are taking certain risks on the road. Insurance can help prevent you from being stuck with huge medical bills, the cost of property repairs, and the replacement costs of a new vehicle. Not only does it protect you if you’re injured, but it protects you from being personally liable for the expenses of another person’s medical bills, especially if the accident is your fault. If you’re in a car accident, you should consult with an auto accident lawyer as soon as possible to help you navigate the complexities of the insurance system.
Consequences of Driving Uninsured in Michigan
Michigan is a no-fault car accident state, and this comes with certain caveats and consequences whenever you’re involved in an accident. Beyond being held personally liable for property damage, pain and medical bills of other injured parties, as well as your own, there are other consequences that you may face as a result of driving uninsured.
In 2015, Michigan police were granted access to a system which tells them, simply by running your plate, whether you are insured. The latest insurance coverages are reported to the Michigan Secretary of State on the first and fifteenth of each month. If you don’t have proof of insurance when you are pulled over or involved in an accident, you can first face a civil fine of $143. Additionally, you could face fines between $200-500, and up to one year of imprisonment.
Insurance providers can also blacklist you for up to six months after you’ve been cited for driving without insurance. Some carriers will issue insurance with “high-risk” driver rates for six months after a citation for this offense.
Other consequences include:
- license suspension or revokation
- plates revoked or canceled
- insurance surcharges for up to three years
At-Fault Accidents with No Insurance
In the worst-case scenario, you may be involved in an accident without insurance coverage. Hopefully, the person you hit has the mandatory minimum Michigan coverage, which will take care of their damages and any medical bills. However, they can also sue you for up to $3,000 for damages to their car. You would be responsible for this amount, plus court costs.
If they do not have collision coverage, or if they are seriously injured, they may be able to hold you liable for more costs, including the costs of their future care.
If you damage any property while driving uninsured, including a parked car, you will be held liable for the damages incurred as a result of your collision. Unfortunately, this is true even if hitting the property is not your fault. If you are driving without insurance, you are running an extreme risk to your financial well-being.
Contacting an Auto Accident Lawyer
The first thing you should do whenever you are involved in an auto accident is to contact a lawyer who specializes in handling auto accident cases within the state of Michigan. Your auto accident attorney is well-versed in the no-fault laws and will be able to help you protect yourself as much as possible in the event you were driving without insurance.
If you are injured by someone who was not carrying insurance at the time of your car accident, it’s also important to contact a car accident attorney immediately. Your injuries, including your medical bills, pain and suffering, and lost wages may be recoverable through the pursuit of a civil case against the other driver.
If you are involved in an accident with an uninsured driver and your insurance company is reluctant to pay for your damages, an auto accident lawyer can help you negotiate successfully with your insurance company to ensure that you recover your economic damages.
Final Thoughts
While Michigan carries some of the highest auto insurance rates in the country, the risks of driving without insurance are much higher. It’s not worth it. Make sure your auto insurance policy is up to date today.
