Michigan residents who have never been in a car accident before might not realize that the damages they’ve incurred might be paid out by their own insurance company rather than the at-fault driver. This is the essence of the state’s no-fault insurance law. The Joseph Dedvukaj Firm, P.C. located in Bloomfield Hills has spent more than 25 years winning strong results for auto accident injury victims. Our attorney will outline how the law applies in your case and explain recent changes to state law that might affect how much you can collect under your policy and whether you can sue the driver of the vehicle that caused your crash.
Detroit-area firm assists with Personal Injury Protection (PIP) matters
No-fault auto insurance is designed to help people hurt in car accidents obtain reimbursement for accident-related costs without having to prove who was responsible for the collision. The Personal Injury Protection (PIP) coverage in these policies specifically covers medical care, lost income and reasonably necessary recovery and rehabilitation expenses. Our personal injury firm has a detailed understanding of the relevant laws and the tactics that insurance companies use to reduce the payout owed to victims. You can rely on us to negotiate effectively on your behalf and take strong action if your insurer is not living up to their responsibility under the policy.
Michigan no-fault insurance law
Michigan has enacted significant changes to its no-fault insurance law, reshaping the way drivers obtain coverage for injuries and losses resulting from car accidents. This law requires all drivers to carry Personal Injury Protection (PIP) insurance, with the primary goal of ensuring that medical expenses and other related costs are covered, regardless of who caused the accident. The reform provides Michigan drivers with six different PIP coverage options, designed to give more flexibility based on their personal circumstances and budget:
- Unlimited PIP coverage: Previously, unlimited PIP was the standard for all Michigan drivers, offering an unrestricted amount of coverage for medical expenses and rehabilitation costs following an accident. It covers not just immediate medical needs but also long-term care, recovery, and rehabilitation services.
- PIP coverage up to $500,000: This option provides coverage for up to $500,000 in medical expenses incurred from auto accidents. It is a balance between cost savings and ensuring a reasonable amount of protection for serious injuries that might require extensive medical treatment or hospitalization.
- PIP coverage up to $250,000: For drivers looking for further cost reductions, this option provides a limit of $250,000 for medical expenses. While it covers a wide range of accident-related costs, it may leave some individuals exposed to out-of-pocket expenses if they experience serious injuries that exceed this limit.
- $250,000 with medical exclusions: This option is available for drivers or household members who have alternative health insurance that would cover injuries sustained in auto accidents. By excluding certain medical costs that would otherwise be covered by PIP, drivers can save on premiums, but they must ensure that their alternative health coverage will adequately protect them in the event of an accident.
- $50,000 for Medicaid recipients: For those enrolled in Medicaid, this option allows drivers to limit their PIP coverage to $50,000. This lower-cost option is tailored for individuals who already receive health benefits through Medicaid, but it also means that accident-related expenses above this limit will not be covered under their auto insurance.
- PIP medical opt-out for Medicare recipients: Drivers who are covered by Medicare (Parts A and B) have the option to completely opt out of PIP medical coverage. However, this requires the assurance that their Medicare coverage will be sufficient to cover all medical costs related to injuries from auto accidents. Household members of the Medicare recipient must also have other health insurance that covers auto accident injuries.
Michigan No-Fault Benefits
Under Michigan’s no-fault law, accident victims are entitled to several key benefits designed to cover a wide range of expenses. One of the most important is coverage for all accident-related medical bills, including hospital stays, doctor visits, and rehabilitation services. This coverage has no cap and lasts a lifetime, ensuring that long-term care needs are met.
In addition to medical expenses, the law also provides compensation for lost wages if your injuries prevent you from working. Michigan’s no-fault system guarantees payment of 85% of your gross income for up to three years while you recover.
Other benefits include reimbursement for necessary prescription medications and out-of-pocket expenses, as well as compensation for personal care services provided by family members or caregivers due to your injuries.
How We Help With Insurance Claims
Dealing with insurance companies after an accident can be overwhelming, but The Joseph Dedvukaj Firm, P.C. has extensive experience handling no-fault insurance claims and Personal Injury Protection (PIP) cases. We ensure that your insurance company fulfills its obligations, covering medical bills, lost wages, and other necessary expenses. Our team understands the tactics insurers use to reduce payouts and will negotiate on your behalf to secure the maximum compensation. If your insurer refuses to pay what you’re owed, we’ll take strong legal action to protect your rights. From reviewing your policy to navigating the complexities of no-fault insurance, we’re here to guide you every step of the way.
Contact a Michigan attorney for a free consultation about a no-fault accident claim
Located in Bloomfield Hills, The Joseph Dedvukaj Firm, P.C. advises Michigan auto accident victims on the state’s no-fault insurance system and other laws related to personal injury claims. To schedule a free consultation, please call 248-885-6614 or contact us online.
Frequently Asked Questions
What is the Purpose of No-Fault Insurance?
The purpose of no-fault insurance is to provide immediate coverage for medical expenses, lost wages, and other accident-related costs, regardless of who was at fault in the accident. It simplifies the claims process, ensuring that individuals receive the necessary financial support without the need to prove fault in a lawsuit.
Is There a Deadline or Statute of Limitations for Detroit & Michigan No-Fault Benefits?
Yes, there is a statute of limitations for filing no-fault insurance claims in Michigan. Generally, you must submit a written claim for benefits within one year of the date of the accident. Additionally, any legal action to recover unpaid benefits must be filed within one year from the date the expenses were incurred.
How Often Are No-Fault Benefits Used?
No-fault benefits are commonly used following car accidents to cover medical bills, rehabilitation costs, and lost wages. In Michigan, they are a fundamental part of the insurance system and are utilized whenever someone is injured in a motor vehicle accident.
What is the PIP rule?
The PIP rule refers to Michigan’s requirement that drivers carry Personal Injury Protection coverage as part of their auto insurance policy, ensuring they can receive compensation for medical and other accident-related expenses without proving fault.
Who is eligible for PIP in the US?
PIP eligibility varies by state, but in Michigan, all drivers are required to carry PIP insurance unless they qualify for an exemption (such as Medicare recipients). Some other states also mandate or offer PIP as optional coverage in their auto insurance policies.