An Estimated 1.5 Million Michigan Drivers Don’t Have Insurance

It might be halftime in America, but Detroit’s still getting its ass kicked. A recent report estimates that 1.5 million Michigan drivers do not have insurance, putting them in serious financial risk if they happen to get in an accident.

Approximately 1 in 7 Michigan drivers is doing so without insurance, and within the city of Detroit that stat jumps to a staggering 50 percent. According to Steven M. Gursten, president of the Motor Vehicle Trial Lawyers Association, “The correlation between the economy and the number of insured drivers is very strong. As more people lose their jobs, more people cannot afford No-Fault insurance, and more people choose to drive uninsured.”

Despite the fact that driving without insurance is illegal, there are additional implications to be considered, especially if you’re operating a vehicle in the state of Michigan. Under Michigan’s No-Fault insurance laws, even if the driver without insurance was in no way responsible for the collision, he is prohibited from suing the driver who caused the accident. Additionally, the driver has, “no legal right to vital No-Fault insurance benefits, including lifetime medical care, wage loss, attendant care and replacement services.”

Inversely, if an uninsured driver is responsible for a collision with someone who has insurance, they could be on the hook for damages, medical bills, and open to potential lawsuits for pain and suffering. For the uninsured, a collision could end up costing tens of thousands of dollars (or more) and lead to the other party’s insurance company going after their assets through a collection agency.

What’s most discouraging is that it’s precisely the people who can’t afford to be uninsured who are driving around without insurance.

As a responsible driver, one thing you can do is make sure you have coverage against uninsured motorists. By purchasing a policy that includes uninsured and underinsured motorist coverage, you protect yourself from being left without recourse in the event of a collision with someone who’s opted to illegally forego insurance.

With the cost of uninsured motorist coverage typically being fairly low, Gursten puts it in the following perspective: “For the cost of a movie and a popcorn, you can financially protect your family in case of a car crash with an uninsured driver." It might seem like a no brainer, but then again, so does having insurance in the first place.

Photo credit: http://www.flickr.com/photos/mandj98/268583768/