Insurance Required ExtensiveResidents of the Wolverine State are well aware that if they own and operate an automobile the cost of ownership can be exorbitant. Aside from the normal ownership costs of vehicles including oil changes, tires, tune ups, gasoline, etc., Michigan's motorists are also required by law to maintain the mandated auto insurance coverage set by the state. Unfortunately, the requirements are quite extensive and generally lead to high premiums for drivers. In fact, the average amount paid by consumers for automobile policies are among the highest in the nation and in a city such as Detroit, a motorist may be looking at an annual premium of over ,000.One of the major reasons that the cost of Michigan car insurance coverage can become very expensive is due to the fact that the state enforces one of, if not the most comprehensive No-Fault insurance systems in the United States to cover the expenses arising from traffic accidents. The majority of states follow the tort system and require motorists to purchase liability coverage to pay for bodily injuries and property damage that a policyholder may cause to a third party. MI mandates that this type of protection be maintained by motorists as well as purchasing policies that will cover the insured for their injuries in the event of an accident regardless of who is to be found at fault. This type of system is believed to be effective in ensuring that a person receives the compensation needed should they be injured and suffer losses in an auto collision.