A couple of questionable bills are being introduced this week that would make changes to the Michigan No-Fault Act. All of these bills change the actual insurance code which will change the responsibility of insurance companies to pay out insurance benefits after an auto accident. The bills are terribly written and they are simply another way for insurance companies to collect premiums without having to pay out insurance to those in need. The insurance industry tries to pass these bills by blaming illegal immigrants, drunk drivers, and felons (all of which are easy to blame) for high insurance premiums in Michigan when that is really not the case. The whole idea of no-fault insurance is to provide coverage to both parties regardless of who is at fault or how the accident happened. In what other industry can you charge exorbitant fees that are required by the state and then have the ability to deny them what they have paid for?

As a reminder, if a person does not carry no-fault insurance which is required to drive in this state, personal injury protection is denied. For more detailed information about accident and no-fault specifics, check out the following website: The Clark Law Office – Experienced Vehicle Accident Attorneys in Michigan.   For anyone thinking that illegal immigrants shouldn’t receive insurance benefits because they don’t pay for insurance and they are unfairly compensated, this is simply not the case, they are already denied if they don’t pay for insurance. This is a way for Michigan auto insurance companies to prevent paying out benefits to customers who carry auto insurance and have been paying for years. Essentially, this is creating a way for the insurance industry to have it both ways. They get the protection from the no-fault law while denying people who are at fault, a great deal for them really. The drawback of no-fault law is the limited ability to bring a third party lawsuit which is how many other residents in at-fault states collect compensation. The upside is that everyone that pays into the system should get first party benefits including lifetime medical if it applies as well as lost wages, attendant care, etc. By taking away the ability for people to collect the first party benefits, they are making the state at-fault, but don’t have to worry about 3rd party claims. If bills like this are going to get passed, let’s just get rid of no-fault law completely! The insurance industry doesn’t want to do this, because Michigan is one of the most ludicrous states to run an insurance business, why do you think there are so many insurance providers in our state? These companies would rather blame the “bad guys” (illegal immigrants, drunk drivers, and felons) for rising costs instead of releasing the truth. To this day they have not released any financial data that would clear all the mess up. I wonder why…..

I consider these bills a gift to the insurance industry from republicans. Their profits will increase at your expense and they will be able to shift these costs to somebody else, they don’t care who. People that pay insurance should have the right to first party benefits in Michigan regardless of the situation leading up to the accident. Do you think these auto insurance companies will repay the premiums to the individuals they deny even though they have been making payments for year? Didn’t think so…….