Great Lakes Auto Law

Practice Area

Michigan No-Fault Law

Michigan's No-Fault system guarantees benefits regardless of fault — but insurers routinely deny, delay, and underpay claims. This guide explains what you're owed and how we fight to get it.

Overview

What Is Michigan No-Fault Law?

Michigan's No-Fault Act requires every driver to carry auto insurance that pays for their own accident-related losses — regardless of who caused the crash. This means your own insurer covers your medical bills, lost wages, and other expenses without requiring you to prove fault.

The system was designed to ensure fast, reliable compensation for accident victims. In practice, insurers frequently deny claims, cut off benefits prematurely, or underpay what they owe. Knowing your rights is the first step to protecting them.

Michigan is one of only a handful of states with a true no-fault system. The core benefit — Personal Injury Protection (PIP) — is the foundation of every No-Fault claim. Understanding what PIP covers, and what your specific policy tier provides, is essential before you file.

PIP Benefits

What Personal Injury Protection Covers

PIP is the core of Michigan No-Fault. It pays for losses you suffer as a result of an auto accident, regardless of fault. The six categories of PIP benefits are:

Medical Expenses

Reasonable and necessary medical treatment — hospital stays, surgery, physical therapy, prescriptions, medical equipment, and home modifications for serious injuries.

Wage Loss

Up to 85% of gross income lost due to accident-related disability, for up to three years from the date of the accident.

Replacement Services

$20 per day for services you can no longer perform due to your injuries — household chores, lawn care, childcare, and similar tasks.

Attendant Care

Compensation for a family member or professional caregiver who assists with daily living activities when injuries are severe.

Survivor Benefits

Wage loss and replacement service benefits continue for surviving dependents for up to three years after a fatal accident.

Funeral & Burial

Up to $5,000 in funeral and burial expenses paid directly by the insurer in the event of a fatal accident.

Coverage Tiers

PIP Coverage Levels

Since the 2019 reform, Michigan drivers choose their PIP medical coverage level at policy renewal. The tier you selected determines the maximum your insurer will pay for accident-related medical expenses.

Unlimited
Unlimited PIPRecommended

Full lifetime medical coverage for accident-related injuries. The strongest protection available under Michigan law.

$500K
$500,000 PIP

Covers most serious injuries, but catastrophic injuries — spinal cord damage, severe TBI, long-term care — can exceed this limit.

$250K
$250,000 PIP

Adequate for moderate injuries. Insufficient for any injury requiring extended hospitalization or long-term rehabilitation.

$50K
$50,000 PIP

Available only to Medicaid recipients. Covers basic treatment but is quickly exhausted by serious injuries.

Opt-Out
PIP Opt-Out

Available only if you have qualifying Medicare coverage. Eliminates PIP medical benefits entirely — a significant risk.

Not sure what tier you have? Check your declarations page or call your insurer. Many people chose lower tiers without fully understanding the consequences. If you're already injured, we can help you understand what your current coverage means for your claim.

2019 Reform

The 2019 No-Fault Reform

Public Act 21 of 2019 was the most significant overhaul of Michigan's No-Fault system in decades. Effective July 2, 2020, it introduced tiered PIP coverage, fee schedules for medical providers, and new restrictions on benefits.

The reform was sold to the public as a cost-saving measure. In practice, it gave insurers powerful new tools to limit and deny claims. Understanding the post-reform landscape is essential for anyone injured in a Michigan auto accident after July 2020.

Tiered PIP Coverage

Unlimited PIP is no longer mandatory. Drivers can choose lower tiers or, in limited circumstances, opt out entirely.

Medical Fee Schedules

Providers are now reimbursed at a percentage of Medicare rates, which has caused some to stop accepting No-Fault patients.

Attendant Care Cap

Family-provided attendant care is capped at 56 hours per week, regardless of the injured person’s actual needs.

One-Year-Back Rule

You can only recover past-due benefits that accrued within one year before filing a lawsuit. Delay costs you money.

Denials & Disputes

When Insurers Deny or Cut Off Benefits

Benefit denials are common. Insurers use a range of tactics to avoid paying what they owe: Independent Medical Examinations (IMEs) that contradict your treating physician, claims that treatment is "not medically necessary," and technical arguments about policy coverage.

A denial letter is not the end. You have the right to dispute any denial and, if necessary, file a lawsuit against your own insurer to recover the benefits you're owed. Michigan law allows you to recover attorney fees in successful No-Fault cases.

The one-year-back rule matters here. You can only recover past-due benefits that accrued within one year before filing your lawsuit. Every month you wait is a month of benefits you may not be able to recover. Contact us as soon as benefits are denied or reduced.

How We Help

How Great Lakes Auto Law Fights for You

We handle No-Fault disputes from initial claim through trial. Sean O'Bryan personally reviews every case and handles client communication directly — you won't be passed off to a paralegal or case manager.

Reviewing your policy to identify all available benefits
Challenging IME opinions with your treating physician’s records
Documenting wage loss and replacement service claims
Filing suit against your insurer when benefits are wrongfully denied
Pursuing attendant care and long-term care benefits for serious injuries
Coordinating No-Fault claims with third-party tort actions when applicable

We work on contingency — no fee unless we win. There is no cost to consult with us, and no obligation after your free case review.

Common Questions

No-Fault Questions, Straight Answers

Michigan No-Fault law is complex and frequently misunderstood. These are the questions we hear most often from accident victims across the state.

The Basics3 questions

Understanding No-Fault

  • It means your own insurance company pays your accident-related losses regardless of who caused the crash. You don't have to prove the other driver was at fault to receive medical benefits, wage loss, or replacement services. Michigan is one of a small number of states with a true no-fault system.

  • Michigan No-Fault applies to accidents involving a motor vehicle on a public road. This includes cars, trucks, motorcycles (with some differences), rideshare vehicles, and commercial vehicles. Accidents on private property or involving only non-motorized vehicles may not qualify.

    If you were a pedestrian or cyclist struck by a motor vehicle, you are also entitled to No-Fault PIP benefits from the at-fault driver's insurer.

  • You must notify your insurer of the accident and your intent to claim benefits within one year of the accident date. Missing this deadline can permanently bar your claim.

    Act quickly. Even if you're still receiving treatment, notify your insurer in writing as soon as possible after the accident. Delays give insurers grounds to dispute coverage.

PIP Benefits4 questions

What You’re Entitled To

  • All reasonably necessary medical treatment related to your accident injuries. This includes emergency care, hospitalization, surgery, physical therapy, chiropractic care, prescriptions, medical equipment, home health aides, and home modifications. The insurer cannot limit you to a specific network of providers.

  • This is one of the most common tactics insurers use to deny or limit PIP benefits. They hire their own doctors — called Independent Medical Examiners (IMEs) — to review your records and issue opinions that contradict your treating physician.

    An IME opinion is not final. We challenge these denials by presenting your treating physician's records, obtaining second opinions from qualified specialists, and, when necessary, litigating the dispute in court.

  • Yes. Michigan No-Fault does not require you to use an insurer-approved network. You have the right to treat with any licensed provider. If your insurer pressures you to use specific doctors or threatens to cut off benefits if you don't, contact us immediately.

  • Wage loss benefits equal 85% of your gross income at the time of the accident, up to a statutory maximum that adjusts annually. Benefits are payable for up to three years from the accident date. Self-employed individuals can also claim wage loss, though documentation requirements are more complex.

2019 Reform3 questions

How the 2019 Law Changed Things

  • The 2019 reform (Public Act 21) made sweeping changes to Michigan's No-Fault system, effective July 2, 2020. The most significant changes:

    • Unlimited PIP medical coverage is no longer mandatory — drivers can choose lower tiers or opt out.
    • Fee schedules now cap what providers can charge for No-Fault treatment.
    • Attendant care provided by family members is capped at 56 hours per week.
    • The one-year-back rule limits recovery of past-due benefits to one year before the lawsuit is filed.

  • For the most part, yes — your coverage level is determined by the policy in effect at the time of the accident. However, there are situations where an insurer failed to properly explain the tiers or obtain informed consent, which may create grounds to challenge the coverage selection. We evaluate these situations case by case.

  • The 2019 reform imposed reimbursement caps on medical providers treating No-Fault patients. Rates are set as a percentage of Medicare rates. Some providers have reduced or stopped accepting No-Fault patients as a result.

    If you're having trouble finding providers who accept No-Fault, we can help connect you with experienced practitioners who continue to treat accident victims.

Denials & Disputes3 questions

When Insurers Fight Back

  • A benefits cutoff is not the end of the road. You have the right to dispute the denial and, if necessary, file a lawsuit against your own insurer to recover the benefits you're owed.

    Time matters here. The one-year-back rule means you can only recover benefits that accrued within one year before filing suit. The sooner you act, the more of your benefits you can protect.

  • A No-Fault lawsuit is a claim against your own insurer for wrongfully denying or underpaying PIP benefits. It is separate from any third-party tort claim against the at-fault driver. We handle both simultaneously when applicable. Most No-Fault disputes settle before trial, but we prepare every case as if it will go to court.

  • Yes. Michigan law expressly allows you to sue your own insurer for unpaid No-Fault benefits. This is not a bad-faith claim — it is a straightforward contract dispute. If your insurer owes you benefits and refuses to pay, you have the right to enforce that obligation in court.

Don't see your question here? Every case is different. Call (947) 729-7198 or send us a message for a free, confidential consultation.

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Insurance companies employ teams of adjusters and attorneys whose job is to minimize what they pay you. We level the playing field — on contingency, at no upfront cost.

Our Commitment

What you can expect from us.

  • No fee unless we win. Contingency representation — zero upfront cost.
  • Free case evaluation. Confidential and no-obligation.
  • Direct attorney access. Sean O’Bryan handles your case personally.
  • Statewide coverage. We serve all 83 Michigan counties.
Office

1026 Scott Lake Rd
Waterford Township, MI 48328