Michigan No-Fault Auto Reform FAQ for Agents

Change is coming to the state of Michigan as the historic No-Fault Auto Insurance Reform begins July 2, 2020. The good news is that you don’t have to navigate this change alone. Please note that the information contained below is still subject to Michigan approval of all forms and rates and should not be shared with insureds or others.  We will notify you upon receiving state approval.

View the MI No-Fault Reform Agent Training Webinar

All sample letters, forms, and applications can be found by clicking the "resources" tab in the webinar.

Frequently Asked Questions

I'm a Personal Lines agent. What do I need to know?

I'm a Commercial, Specialty, or Farm/Ag agent. What do I need to know?

Personal Lines

Click here to view the Personal Lines reference sheet.

When will you begin to mail required documents to policyholders?

We will begin to mail out documents and forms to policyholders beginning 65 days prior to the policy renewal. This cycle will continue for every policy renewal.

What kinds of documents will SECURA be sending to my policyholders?

The documents that your policyholders will be receiving are as follows:

What should my policyholders do with the documents they receive from SECURA?

Policyholders should do the following when they receive the required documents above:

  1. Read the cover letter and 65 Day PLI coverage change notice.
  2. Complete the three included forms with their coverage selections.
  3. Return the completed forms to SECURA using the pre-paid return envelope.

What happens if policyholders don’t return their selection forms to SECURA?

If policyholders do not return their coverage selection form, they will be automatically enrolled in the Unlimited PIP Medical option at their current coordination of benefits option.

Will I receive a copy of the BI Liability Limits/Premium Application

Yes, a copy will be sent to you.

When do I need to obtain a policyholder’s signature on a BI Application?

Signatures are required when a policyholder is selecting any BI limit lower than $250/$500. This includes a limit of $300/$300

When do I need to obtain a policyholder’s signature on a PIP Application?

Will you be sending me any other supporting documents through this change?

Yes. A week before the policyholder’s policy would renew, we will send you a “No-Reply” list. This list will consist of any policyholder that will have a renewal processing in the following week that is below the BI financial responsibility limit and will therefore see an increase in BI limit.

We will also be sending you a Reduction in Coverage list which will include any policyholders that have chosen to reduce their BI coverage below what they currently have, and any policyholders that are selecting a Limited or PIP Medical Opt-Out option.

Commercial, Specialty, or Farm/Ag Lines

Click here to view the Commercial, Specialty, and Farm/Ag Lines reference sheet.

When will SECURA begin to mail required documents to policyholders?

For renewals on or after 7/2/2020, we will be mailing required documents and forms 60 days prior to the renewal. Copies of the mailings will be available for agents on AgentLinkSM.

For new business that is effective 7/2/2020 and later, required documents and forms will be emailed to you along with the quote.

What do I need to know about the renewal of current policies?

Two months prior to the policy effective date, your policyholders will receive the following documents from SECURA:

All renewals will be quoted with expiring limits unless the policyholder’s current Auto Liability Limit is below $510,000 (in this case it would be automatically increased), or a signed PIP or Auto Liability Limits application is on file, authorizing lower limits.

What can I expect on subsequent renewals?

Once a policy has been issued under the new reform, all subsequent renewals will follow a slightly different workflow. At the time of renewal, the following documents will be available to you through AgentLinkSM:

Please note: these forms will not be provided by email, nor sent directly to your policyholders.

Signed applications will not need to be returned on subsequent renewals unless the insured would like to select a new Auto Liability or PIP limit below the identified thresholds or if they are a Sole Proprietor and have selected to opt-out of PIP coverage. Sole Proprietors will be required to submit a new PIP application each year if they wish to continue to opt-out of PIP coverage.

What do I need to know about New Business? What about endorsements?

New business policies will only require the following forms to be completed and returned to SECURA:

Please note that policies will not be issued with limits below identified thresholds without signed applications.

Policies that have already been issued under the new legislation can be endorsed to take advantage of the new limit offerings. Requests for limits below Unlimited PIP or $510,000 for Auto Liability must be accompanied by the appropriate signed applications:

When do I need a policyholder’s signature on the Auto Liability Limits Application?

Signatures are required when the Auto Liability limit selected is less than $510,000

When do I need a policyholder’s signature on a PIP Application?

Signatures are required on a PIP Application for any of the following: