Michigan Court Lowers Threshold for Damage Suits Under No-Fault

The Michigan Supreme Court has made it easier for auto accident victims to sue for pain and suffering under the state’s no-fault law.

The new court ruling lowers the threshold of what is considered a serious impairment of body function that must be met before a claim for non-economic damages may be considered.

Michigan’s no-fault law restricts claims for pain and suffering unless the impairment has affected “the person’s general ability to lead his or her normal life.”

By a narrow 4-3 majority, the Supreme Court agreed to overturn its own 2004 ruling in the Kreiner case that set a higher threshold. The court now says that Kreiner imposed claims restrictions that exceeded the plain language and intent of the no-fault law.

The Kreiner majority held that the “common meaning” of whether an impairment has affected “the person’s general ability to lead his or her normal life” is whether it has affected the person’s general ability to “conduct the course or trajectory of his or her entire normal life.”

The Supreme Court said that the Kreiner rule erred in attaching conditions such as time and extent of an injury and its effect on a person’s ability to lead a normal life that were never included by the Legislature in the statute.

Insurers expressed disappointment, warning that the ruling could lead to a flood of new lawsuits and higher premiums for motorists.

Topics Lawsuits Michigan