Signed into law by Governor Gretchen Whitmer, the PIP reform options take effect July 1, 2020.

Mandatory unlimited PIP coverage has been in place since 1973. PIP’s unlimited, lifetime medical benefits are paid regardless of fault and have led to increased fraud. As a result, Michigan auto insurance premiums are some of the highest in the nation.

Among the reforms to Michigan’s auto insurance system are:

• more coverage choices,

• creation of a fraud bureau,

• a fee schedule for the amounts health care providers can charge for auto insurance-related injuries, and,

• mandatory rate relief for consumers and more.

Be Prepared.

While much of the reform won’t take effect until July 2020, it’s not too soon to talk to your State Farm agent to review your current coverages.

State Farm continues to work with legislators, industry partners and other allies to promote reform solutions that benefit customers.