Community Manager
Community Manager

In Michigan, the no-fault auto insurance legislation includes a variety of changes that impact our members. 

Here are a few of the high points that USAA’s Michigan members should know: 


  •          Effective July 2nd:  The reform is effective on newly issued policies and policy renewals, effective 7/2/2020. 


  •          Personal Injury Protection (PIP) Choice:  Drivers will now be able to choose a coverage level appropriate for their needs and budget.  PIP medical coverage pays allowable expenses for medical care if policyholders are in an auto accident.  The new limits equal or exceed the highest benefits in the country and Michigan is the only state where unlimited PIP medical continues to be an option. The PIP coverage options range from $50,000 for Medicaid recipients to unlimited medical benefits.  In some cases, policyholders with other health coverage can opt out of PIP entirely. 


  •          Premium Reduction:  Every Auto insurance company is required to reduce statewide average PIP medical premiums for eight years. Each Member’s overall premium will depend on their individual circumstances and the coverage they select so not all members may experience a savings. 


  •          New Forms: To help Members better understand their coverage options and risks, the state of Michigan has created new Bodily Injury and Personal Injury Protection (PIP) forms to help consumers select coverage that meets their individual needs.  Each form provides an explanation of: 1) the coverages available; 2) an explanation of relevant risks; and 3) how the Member can complete the form, where relevant. 


  •          Reduced MCCA Fees:  The current assessment that all insurers are required to pass on to insureds is $220 per vehicle, but starting on 7/2/2020 the assessment will decrease to $100 per vehicle for insureds to choose unlimited PIP medical. 


  •          Fee Schedule:  A medical fee schedule will be implemented in 2021 to help control the cost of insurance in Michigan.   


  •          Fraud Investigation Unit:  Under Michigan's new auto insurance law, a Fraud Investigation Unit has been established to investigate criminal and fraudulent activity related to the insurance and financial markets and work with Attorney General law enforcement to prosecute these crimes. 


USAA is excited to deliver these changes to our members on their preferred channel of choice. and the USAA mobile app will allow members to view their coverage options, associated premiums, and electronically sign the new forms required for both members looking for a new auto policy and current policy holders on their renewals online the day prior to renewal or any time over the phone. As always, for Members who prefer to call 800-531-8722, our Insurance Professionals are available to help! 


Commonly Asked Questions 


Q:  How will the MI Reform impact my rates? 


A:  The reform will allow members to choose new levels of medical coverage to better meet their needs and potentially reduce their rates.  Rates depend on a variety of factors, so not all members may experience an overall savings. 


Q:  What can I do to prepare for the reform? 



  •          Review the Personal Injury Protection and Bodily Injury coverage selection forms, available online at and included in policy renewal packets. 
  •          Prepare to provide information about any resident relatives. 
  •          Select your desired Personal Injury Protection and Bodily Injury limits. 
  •          Complete the Personal Injury Protection and Bodily Injury coverage selection forms. 
  •          Submit proof of health insurance for you and your resident relatives, if necessary, depending on PIP limit selected. 


Q:  I already have an auto policy in Michigan, when can I start a quote online? 


A:   USAA members are able to quote online as early as the day before their scheduled renewal.  If members need to obtain a quote sooner, additional options are available by Phone or Chat.