The school announced that LeVert, who has battled a left foot injury since the end of December, will sit out the remainder of the year to focus on getting healthy.
Michigan's final regular-season contest is Saturday against Iowa. The Wolverines are 20-10 and 10-7 in Big Ten play.
LeVert played the first 14 games of the season, averaging 16.5 points, 5.3 rebounds and 4.9 assists. The Wolverines were 11-3 prior to his injury and have gone 9-7 without LeVert in the lineup.
LeVert tried to come back and played 11 minutes in a Feb. 13 victory over Purdue, but he has missed the past four games.
"After some prayer and talking it over with my family, Coach [John] Beilein and the medical staff, we all feel it is best for me to concentrate on getting fully healthy," LeVert said in a statement. "There is still some discomfort that does not allow me to help this team the way I want."
LeVert had surgery on his left foot in the summer of 2015, and then re-aggravated the injury and missed the final 14 games of his junior campaign.
Once considered a sure-fire first-round pick and a potential lottery selection, LeVert's stock has fallen due to the recent injuries -- and several NBA executives told ESPN that he could slip out of the first round, depending on the medical testing prior to the draft.