Michigan did a good job sitting on the lead in the final minutes and Penn State was unable to generate any scoring chances.
The loss marked the sixth time the Lions have lost by one goal -- and the ninth time the Lions lost to a top-20 team this season.
"We've had a lot of these [games] this season," defender Sara Cahill said.
"We've been unlucky, we've been very unfortunate. That was one of the best games I've seen us play this season. ... We just couldn't put the ball in the cage. They got a lucky goal there at the end, that's just the way it goes sometimes."
Unfortunately for Penn State, that's how it has gone all season long. The regular-season-ending loss means that Penn State will be the No. 4 seed in this weekend's Big Ten tournament. The Lions are up against No. 5 seed Ohio State (9-9, 2-5), whom they defeated 3-1 on Sept. 25.
If Penn State wins Friday, it would have a chance for some revenge. The Wolverines are the top seed in the tournament and will face the winner of the Penn State-Ohio State clash.
The Lions have a tough path to travel for a successful postseason, but they know what they must accomplish to keep their goals alive.
"Our mentality is we're going to win the Big Ten championship," Cahill said. "That's what we have to do, that's our objective and that's what we're going to get done this weekend."