My question involves insurance law for the state of: CA, MI
My husband has a temporary job in CA lasting less than a year, but we maintain our permanent residence in MI. In practice we have been back and forth between both states for several months, and have a few months left of this.
In the meantime, my husband has borrowed my parents' car and became listed as a family member in their insurance. The car is housed with him in a different city than my parents.
My parents' insurance agents want him to get a CA driver's license, and claim to have been warning about this for months although on our end there has been miscommunication about what they require (we sent in MI DL info) and only now that we are a few days from renewing the policy are some things coming to light.
The insurance company threatens non-renewal/cancellation if he does not get a CA DL in the next few days. He will only be in MI for three more months, and is busy these next few days. If he does not get a CA DL their other option is to make him a named exclusion (there are no problems with his driving record, it seems this is their policy for "household members" they won't cover).
The insurance company claims that he can get a CA license without losing the MI license. It is late now for us to verify with CA DMV about this but I am skeptical. They even claim that he is doing the wrong thing by not having a CA license now, even though according to CA DMV website it doesn't seem to me that he is required to--for example, he will pay CA taxes this year as a "nonresident." It does not make legal sense to us that he should get a CA DL.
My first question is if we are risking anything if my husband drives my parents' car these next few days, before the current policy runs out. He has a valid MI license and is furthermore included in our MI auto insurance, for our car in MI (not my parent's car). Meanwhile he has been a regular driver of my parent's car in CA.
Does the insurance company's threat of cancellation in a few days have anything to do with his CA coverage until then?
Hasn't my husband abided by rules driving w/ MI DL while temporarily working in CA?
If he becomes a "named exclusion" on the CA car, would he have any coverage from our MI insurer, for example liability coverage?
Can anyone verify whether or not it is true one can simultaneously hold a MI and CA driver's license? When I got a MI license they cut up the CA license without any question about how much longer I planned to stay in MI.
Thanks for any help or expertise anyone can offer.