PIP Benefits in Michigan – What You Need to Know
February 19, 2019
When you get behind the wheel, chances are you’re not thinking about your no-fault insurance coverage. You may know that your policy includes personal injury protection benefits, also called PIP. However, you may not understand exactly what these important benefits cover if you are injured in an auto accident. Here is what you need to know about PIP benefits in Michigan.
Personal injury protection (PIP) benefits are part of every Michigan no-fault insurance policy. If you own a vehicle in Michigan, you are required by law to have no-fault insurance. You cannot purchase license plates or renew your vehicle’s registration without it. Additionally, it is illegal to drive or allow someone else to drive your car without no-fault insurance.
Understanding PIP benefits in Michigan
Here are five important facts every driver should know about personal injury protection (PIP) benefits in Michigan:
1) If you are injured in an auto accident, you are entitled to the following PIP benefits:
- 100% of all reasonable and necessary medical and/or rehabilitation expenses (lifetime benefit and no monetary cap)
- 85% of lost wages (up to 3 years and not to exceed $5,700 per month)
- Up to $20/day in household replacement services
2) If you are killed as a result of a motor vehicle accident, your dependents could claim lost wage benefits (called survivors’ benefits) up to 3 years and not to exceed $5,700/month
3) PIP benefits are available to every relative residing in the insured persons household.
4) PIP benefits in Michigan do not apply to motorcycles. This is because motorcycles are not considered motor vehicles under Michigan no-fault law. Therefore, a motorcyclist is unable to purchase a typical no-fault policy with unlimited PIP benefits in Michigan. If a motorcyclist is injured in an accident involving a motor vehicle, PIP benefits would typically be afforded from the insurer of owner/registrant of the striking motor vehicle.
5) Pain and suffering damages are not covered by PIP. A claim for pain and suffering is a non-economic claim, also known as a third-party claim. In a third-party claim, the injured party seeks compensation from the negligent (at-fault) driver. Not every person who suffers an injury is able to recover. Under Michigan law, only those persons who sustain a serious injury (known as a threshold injury) are able to bring a successful third-party claim. A threshold injury is typically one that involves death, permanent serious disfigurement, or serious impairment of an important body function.
“You need an experienced lawyer to win the compensation you deserve after a serious accident,” said Mark Bernstein of The Sam Bernstein Law Firm. “Our attorneys understand the ins-and-outs of Michigan no-fault insurance, and we know what it takes to win your case. If you or a loved one is injured in an accident, call us to get the benefits you deserve.”
Michigan personal injury protection laws are complicated, but finding the right lawyer is simple.