is in the details. It will take awhile to figure this out. The current law covers all ‘reasonable’ medical expenses related to the accident. For instance, if you have a coordinated medical policy and it covers 12 P.Therapy visits but you need 24, the auto insurance (no fault) picks up the additional 12. Will this still be the case if you opt out due to other coverages?
The fee schedules or payment limitations will make a huge difference.
Some agents who have been explaining no fault and the MCCA for years may decide this is a good time to retire. There could be issues down the road with people misrepresenting or misunderstanding their situations and then blaming the agents when they don’t have the high coverages afforded now. Hopefully, there will be protections in place to avoid this.
I was an agent in Michigan for 20 years several years ago. I can tell you that the PIP is ripe with fraud. You don’t have to be driving to get those benefits, you just have to be in the vicinity of the vehicle. Even if someone was hit by a car walking down the street that didn’t have insurance was covered. Not only did the Medical pay , but the work loss kicked in too. Just like a disability policy does. I seen where the spouses got paid because they had to do their spouses chores.. Doctors loved that guaranteed medical payment , so much so that they would treat you like a king to keep you coming back for treatment. They also need to get rid of the broad form collision that’s ripe with fraud as well. Too many cars getting hit in the parking lots and many times the owner was at fault and claimed they were parked there. I could go on all day with the problems with Michigan insurance legislation.
is in the details. It will take awhile to figure this out. The current law covers all ‘reasonable’ medical expenses related to the accident. For instance, if you have a coordinated medical policy and it covers 12 P.Therapy visits but you need 24, the auto insurance (no fault) picks up the additional 12. Will this still be the case if you opt out due to other coverages?
The fee schedules or payment limitations will make a huge difference.
Some agents who have been explaining no fault and the MCCA for years may decide this is a good time to retire. There could be issues down the road with people misrepresenting or misunderstanding their situations and then blaming the agents when they don’t have the high coverages afforded now. Hopefully, there will be protections in place to avoid this.
Anyway, glad this is finally moving.
I was an agent in Michigan for 20 years several years ago. I can tell you that the PIP is ripe with fraud. You don’t have to be driving to get those benefits, you just have to be in the vicinity of the vehicle. Even if someone was hit by a car walking down the street that didn’t have insurance was covered. Not only did the Medical pay , but the work loss kicked in too. Just like a disability policy does. I seen where the spouses got paid because they had to do their spouses chores.. Doctors loved that guaranteed medical payment , so much so that they would treat you like a king to keep you coming back for treatment. They also need to get rid of the broad form collision that’s ripe with fraud as well. Too many cars getting hit in the parking lots and many times the owner was at fault and claimed they were parked there. I could go on all day with the problems with Michigan insurance legislation.
It was on the news that this is already being challenged by some provider groups.
“Once a benefit, always should be a benefit I guess.”