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February 1 is Auto Insurance Day and Michiganders are Seeing Substantial Savings Under the New Auto Insurance Law

Media Contact: Laura Hall, 517-290-3779,
Consumer Hotline: 833-ASK-DIFS,


(LANSING, MICH) With Michiganders seeing significant savings and additional important consumer protections under Michigan’s new auto insurance law, Governor Gretchen Whitmer has declared February 1 as Auto Insurance Day in Michigan. The success of the new bipartisan auto insurance law was a highlight of the Governor’s Jan. 27 State of the State Address.

“This new auto insurance law is making a real difference in the lives and budgets of Michiganders,” said Governor Whitmer. “With new savings and additional consumer protections, Auto Insurance Day is an ideal opportunity to review your existing coverage, shop for a new policy, or to get covered if you’ve previously gone without auto insurance.”

Michigan’s historic bipartisan auto insurance reform law, which Governor Whitmer signed into law in 2019, lowered costs for Michigan drivers, while maintaining the highest coverage limits in the country and strengthening consumer protections. For policies issued or renewed after July 1, 2020, drivers can choose the amount of Personal Injury Protection (PIP) medical coverage that’s right for them, and the law mandates statewide average savings for PIP medical premiums for 8 years. In addition, there is an amnesty period, through January 1, 2022, for those who have gone without auto insurance coverage to apply for a policy without paying a penalty or increased premium because they did not previously have coverage.

Michiganders across the state are taking advantage of these new savings, new protections, and the insurance amnesty period. During the State of the State Address, Krysten Jones, 34, of Detroit, shared that under Michigan’s old law, it cost more than $550 per month to cover her two vehicles. Despite her clean driving record, she was unable to afford the coverage required to legally drive her vehicle and to protect her family in the event of an accident. When the new auto insurance law went into effect, she was able to lower her premium to $150 per month to cover both cars.

“Before the bipartisan auto insurance law that Governor Whitmer signed, I decided to take my chances and go without coverage,” said Jones. “I was willing to take that risk, but at midnight when Governor Whitmer’s new law went into effect, I went online and signed up for coverage. Now my rates have dropped by nearly $400 a month.”

Not only is Krysten’s family saving nearly $5,000 a year, but Krysten does not face the risk of being pulled over without proof of insurance and her family is now protected in the event of an accident.

Michigan’s auto insurance industry is regulated by the Michigan Department of Insurance and Financial Services (DIFS). DIFS also provides consumers with insurance shopping tips, financial literacy education, outreach, and consumer protections including the ability to file complaints against auto insurers and agent.

“We are committed to ensuring consumers like Krysten are empowered to choose the coverage that meets their needs and budget under Michigan’s new auto insurance law,” said DIFS Director Anita Fox. “The average statewide savings under the new law have exceeded statutory requirements, and DIFS is available to support consumers who have questions, concerns or complaints about their auto insurance.”

Educational resources, sample forms, instructional videos and a schedule of virtual town hall events, including one scheduled for noon on Feb. 1, are available for drivers to learn more about the new law at In addition, DIFS continues to operate its dedicated, no-fault hotline with calls being answered Monday through Friday from 8 a.m. to 5 p.m. Drivers can call 833-ASK-DIFS (275-3437) or email for assistance.

The mission of the Michigan Department of Insurance and Financial Services is to ensure access to safe and secure insurance and financial services fundamental for the opportunity, security, and success of Michigan residents, while fostering economic growth and sustainability in both industries. In addition, the Department provides consumer protection, outreach, and financial literacy and education services to Michigan residents. For more information, visit or follow the Department on Facebook, Twitter, or LinkedIn.