When Does Michigan Law disqualify drivers from receiving personal protection insurance benefits?

Michigan law has enacted a law specifically penalizing drivers of motor vehicles under certain circumstances.

What are the consequences if I am injured while driving a motor I unlawfully took?

Michigan law disqualifies a person from receiving personal protection insurance benefits if you unlawfully take a car. Michigan law specifically addresses the consequences in MCLA 500.3113(a), which states:

“A person is not entitled to be paid personal protection insurance benefits for accidental bodily injury if at the time of the accident any of the following circumstances existed:
(a) The person was willingly operating or willingly using a motor vehicle or motorcycle that was taken unlawfully, and the person knew or should have known that the motor vehicle or motorcycle was taken unlawfully.”

Unlawfully taking a car, generally means stolen. The no fault auto insurance company has the burden of proving the car was unlawfully taken.

What are the consequences if I am injured while driving my own vehicle without any auto insurance coverage?

Michigan law disqualifies a person from receiving personal protection insurance benefits if you unlawfully take a car. Michigan law specifically addresses the consequences in MCLA 500.3113(b), which states:

“(b) The person was the owner or registrant of a motor vehicle or motorcycle involved in the accident with respect to which the security required by section 3101 or 3103 was not in effect.”

Any owner or registrant which has not properly insured the vehicle involved in the auto accident is disqualified. This law exists to punish people for failing to purchase the required no fault auto insurance. Thus, it’s very important in Michigan to buy auto insurance for all vehicles you own or register in your name to protect you and your family.

What are the consequences if I am nonresident injured in the State of Michigan?

Michigan law disqualifies a person from receiving personal protection insurance benefits if you unlawfully take a car. Michigan law specifically addresses the consequences in MCLA 500.3113(c), which states:

“(c) The person was not a resident of this state, unless the person owned a motor vehicle that was registered and insured in this state.”

The exception is, if you “owned a motor vehicle that was registered and insured in the State of Michigan. If you registered and insured a vehicle in Michigan then you would claim Michigan personal protection insurance benefits through that auto insurer.

What are the consequences if I am injured while driving a car that I am an excluded driver?

Michigan law disqualifies a person from receiving personal protection insurance benefits if you unlawfully take a car. Michigan law specifically addresses the consequences in MCLA 500.3113(d), which states:

“(d) The person was operating a motor vehicle or motorcycle as to which he or she was named as an excluded operator as allowed under section 3009(2).”

The no fault auto insurance company has the burden of proving the operator was properly excluded.

What are the consequences if I am the owner of the vehicle injured while driving a car in which coverage was excluded?

Michigan law disqualifies a person from receiving personal protection insurance benefits if you unlawfully take a car. Michigan law specifically addresses the consequences in MCLA 500.3113(e), which states:

“(e) The person was the owner or operator of a motor vehicle for which coverage was excluded under a policy exclusion authorized under section 3017.”

In order to properly exclude a driver, the insurance company must follow specific rules.

What happens if someone else is driving my car without insurance?

In Michigan, if you allow someone to drive your car without proper insurance coverage, you could be held liable for all no fault benefit paid by the Michigan Assigned Claims Plan. The Michigan Assigned Claims Plan can sue you for all no-fault benefits paid to an injured person driving or occupying your uninsured vehicle. Generally, the Michigan Assigned Claims Plan pays medical and rehabilitation expenses, lost wages, household replacement services, medical transportation, and attendant care.

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