Michigan Car Accident Legal Rights – The Top Ten Things Injured People Need to Know
Key Takeaways:
Understanding your Michigan car accident legal rights is vital if you’re injured in a crash. This blog authored by Lansing car accident lawyer and Sinas Dramis Law Firm partner Stephen Sinas, will explain some of the most important things Michigan motorists need to understand, in the unfortunate event of a motor vehicle crash.
- You must know what no-fault PIP benefits are;
- You must know how much no-fault allowable expense benefit coverage is available to you;
- You must know if your no-fault allowable expense benefit coverage is “coordinated” or “uncoordinated”;
- Your home care can be paid by no-fault insurance, but there are limitations to understand;
- You must notify the correct no-fault insurer within one year of the crash;
- You need to make sure your no-fault insurer pays your medical bills without extensive delay;
- You have a duty to cooperate and truthfully communicate with your no-fault insurer, but do so cautiously;
- You may have important legal rights against any at-fault driver (that are complicated to pursue);
- Your medical providers are now paid much less through no-fault insurance for your crash-related care and treatment;
- Hiring the right medical case manager is one of the most important decisions you can make.
If you are injured in a Michigan motor vehicle crash, there are so many issues you are facing as your life has been turned upside down. Below is a list of the top ten things you should know about your Michigan car accident legal rights following your injuries. Hopefully, this list will provide you with helpful knowledge and information. For those injured people seeking legal counsel, our firm is here to help you with a free consultation to better assess how we might be able to help you during this difficult time, and ensure you protect your Michigan car accident legal rights.
#1: You must know what no-fault PIP benefits are
No-fault PIP benefits can be available to a person injured in Michigan motor vehicle crashes even if the person was at fault for the crash. This is why they are called “no-fault” benefits.
There are many instances where no-fault PIP benefits can be available even if the injured person was not insured under an auto insurance policy at the time of the crash.
No-fault PIP benefits are an important financial resource for people seriously injured in Michigan motor vehicle crashes.
There are three general types of no-fault PIP benefits available to injured people:
- “Allowable expense” benefits → cover crash-related medical and rehabilitative care, in-home care needs, home modifications, medical transportation needs, case management expenses, etc.
- “Work loss benefits” → cover crash-related loss of income (available for 3 years)
- “Replacement service” → $20 per day for three years to cover household chores and services people need to do for the injured person.
In most cases, injured people turn to their own insurance company for no-fault PIP benefits but there are notable exceptions in which injured people turn to a different insurance company other than their own.
#2: You must know how much no-fault allowable expense benefit coverage is available to you
There are different amounts of no-fault allowable expense coverage, which are:
- Unlimited
- Capped at $500,000
- Capped at $250,000
- Capped at $50,000
- And some people can buy no-fault insurance that does not have any medical expense coverage at all!
Seriously injured people must know how much allowable expense benefit coverage – if any at all – they have available to them to help pay for their crash-related medical and rehabilitative care needs. This information is typically set forth in the insurance declaration page for the no-fault insurance policy through which the injured person claims no-fault benefits.
#3: You must know if your no-fault allowable expense benefit coverage is “coordinated” or “uncoordinated.”
- Coordinated no-fault allowable expense coverage → The injured person’s health insurance coverage is the primary source of payment of the person’s auto-related medical expense and no-fault insurance must only pay for the expenses which are not covered by health insurance.
- Uncoordinated no-fault allowable expense coverage → The injured person’s no-fault medical expense coverage is primary.
- To have their medical bills paid correctly, an injured person must know if their no-fault medical expense coverage is “coordinated” or “uncoordinated”.
#4: Your home care can be paid by no-fault insurance, but there are limitations to understand
No-fault allowable expense benefits cover homecare (“attendant care”) an injured person reasonably needs when returning home after being injured.
However, no-fault insurers only must pay 56 hours of attendant care per week for the care performed by family members, friends, or roommates. But that limit does not apply to homecare provided by commercial nursing companies.
If the injured person has exhausted their allowable expense benefit coverage, they may have additional homecare coverage through what is known as an “attendant care rider” that may have been included as part of their insurance policy. You should check your policy to see if you are covered by an “attendant care rider”.
#5: You must notify the correct no-fault insurer within one year of the crash
An injured person must notify the correct no-fault insurance company within a year from the crash. If they fail to do so, the injured person will typically lose their right to recover no-fault insurance PIP benefits for their injuries.
#6: You need to make sure your no-faut insurer pays your medical bills without extensive delay
If a no-fault insurance company does not pay no-fault PIP benefits, a lawsuit must be filed within a year of the benefits accruing. So, for example, if a no-fault insurance company denied benefits for a surgery that was performed on January 15, 2025, a lawsuit would need to be filed against that no-fault insurer by January 15, 2026, or their claim for benefits could be lost forever. Therefore, it is important for injured people to monitor whether their no-fault insurer has paid their bills and benefits along the way.
#7: You have a duty to cooperate and truthfully communicate with your no-fault insurer, but do so cautiously
An injured person has a general obligation to cooperate and communicate with their no-fault insurer. You must always be truthful and honest when communicating with your no-fault insurer. However, you should exercise some caution in your communications. Your insurer is somehow making a record of everything you communicate to them. Be cordial. Be respectful. Make sure you are always thoughtful and accurate whenever asked about the extent of your injuries and limitations. Do not exaggerate your injuries. Do not minimize your injuries. Also, try to memorialize important communications through email or written form.
#8: You may have important Michigan car accident legal rights against any at-fault driver (that are complicated to pursue)
Those seriously injured in a motor vehicle crash caused by someone else’s fault may have important legal rights to pursue against the at-fault driver. The at-fault driver can be held liable for the injured person’s past, present, and future medical expenses not covered by no-fault insurance. Furthermore, the at-fault driver can be held liable for the injured person’s past, present, and future income loss not covered by no-fault insurance. And the at-fault driver can be liable for the injured person’s past, present, and future noneconomic pain and suffering damages.
While these rights exist, they can be complicated to pursue, especially without out the representation of an attorney.
Also, your rights to recover money from the at-fault driver for your vehicle damage are very limited. If you have collision insurance, your insurer pays for all your vehicle damage (even though you were not at fault) and the at-fault driver has to pay nothing. If you do not have collision insurance, the at-fault driver does not have to pay any more than $3,000 for your vehicle damage, even if your vehicle damage exceeds $3,000.
#9: Your medical providers are now paid much less through no-fault insurance for your crash-related care and treatment
As a result of the 2019 amendments to the Michigan No-Fault Act, payments to medical providers are substantially reduced, e.g. as much as a 45% reduction for various types of care and rehabilitation expenses.
Due to these payment reductions, some medical providers limit how much they care and treat people injured in motor vehicle crashes. Unfortunately, this may make it difficult for the most seriously injured people to obtain the appropriate care and treatment they need.
#10: Hiring the right medical case manager is one of the most important decisions you can make
Case management expenses can be covered through an injured person’s no-fault allowable expense coverage. A case manager is a professional trained in the medical field to help injured people plan, coordinate, and pursue their medical care and rehabilitative needs following their injuries. Case managers attend the injured person’s medical appointments to make sure the doctor is fully informed of the injured person’s injuries and course of treatment, and to make sure the injured person receives the appropriate referrals to any other appropriate specialists and/or providers. Case managers are often seen as the injured person’s “patient advocate.” Case managers also communicate with the injured person’s no-fault insurer to address any questions or concerns the insurer has about paying for the injured person’s care and treatment needs.
Notably, under the Michigan No-Fault Law, injured people have the right to choose and hire their own case manager. With that said, an injured person’s no-fault insurer may refer the injured person to a case manager the insurer prefers the injured person hire. In these situations, injured people should strongly consider whether they want to hire the case manager referred to them by their insurance company, or whether they would be better served by finding a reputable case manager through their own independent search. Choosing the right case manager is one of the most important decisions people can make after suffering serious injury in a Michigan motor vehicle crash.
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