No-Fault Car Insurance FAQs

Q. What does No-Fault mean?

A. No-Fault refers to the type of automobile insurance law we as Michiganders are bound to follow in this state. Michigan, as a No-Fault state, puts the responsibility on the insurance company to pay for an injured person's economic losses in an automobile collision, regardless of who is at fault for causing the collision. Some people may believe that if they are at fault for causing a collision they cannot receive lost wages if they miss time from work because of their injuries. This is simply not the case. At Liss & Shapero we explain the law in its simplest terms to our clients, so they can understand their rights and feel assured that they are getting the best representation available.

Our goal is to help you understand your rights and your situation.

Q.Is it possible for a Michigan resident to recover No-Fault ie. Medical, wage and household benefits if injured in a motor vehicle accident outside the state of Michigan?

A.Yes. If you are covered under a motor vehicle insurance policy at the time of the accident.

Q. If I am injured in a motor vehicle accident in the course of my employment and getting Workman's Compensation benefits, may I still recover No-Fault benefits?

A. Yes. You may be entitled to wage loss in excess of what Workman's Compensation pays for wage loss and household help reimbursement.

Q. If I am receiving Social Security Disability may I receive No-Fault medical, wage and household help benefits if I am injured in a motor vehicle accident?

A. Yes, however, Social Security Disability benefits would be deducted from the amount to be received from your No-Fault carrier.

Q. If I am driving a motor vehicle owned by me or provided for my continuous use which I have failed to insure, may I still collect No-Fault benefits and pain and suffering damages against the party who causes an accident while I am driving the uninsured vehicle?

A. No.

Q. If I have a pending claim for pain and suffering damages resulting from a motor vehicle accident injury, would my recovery of damages be affected if I filed for bankruptcy?

A. Yes.

Q. If the party causing my injuries from a motor vehicle accident is uninsured and/or underinsured and uncollectible, is there a way for me to recover pain and suffering damages?

A. Yes, if uninsured and/or underinsured coverage is available to you in your automobile policy, a resident relative's automobile policy or, in certain situations the policy of an automobile in which you were a passenger at the time of the motor vehicle accident.

Q: Can I still qualify for no fault benefits (payment for medical expenses, wage loss, nursing care, household services) if I do not have car insurance?

A: Maybe. If you are driving your own uninsured motor vehicle (registered in your name) you will not qualify for any type of benefit- No Fault and pain and suffering. If you are the driver or passenger in a vehicle you do not own, then you could be entitled to no fault benefits. The determination of which insurance company will be responsible for your no fault benefits comes down to who is first in priority. The levels of priority are:

For Occupants and/or Pedestrians:

  1. The injured person's own automobile insurance policy;
  2. The automobile insurance policy of any resident relative;
  3. The automobile insurance policy of the registered owner of the vehicle involved;
  4. The automobile insurance policy of the driver of the vehicle involved in the collision;
  5. The Michigan Assigned Claims Plan. http://www.michacp.org/

Q: Will I qualify for no fault benefits (payment for medical expenses, wage loss, nursing care, household services) if I am injured while operating or riding as a passenger on a motorcycle?

A: Maybe. First in order to qualify for no fault benefits following an accident where you were operating or riding on a motorcycle, there must be involvement with a motor vehicle. Second, If you are driving your own uninsured motorcycle (registered in your name) you will not qualify for any type of benefit- No Fault and pain and suffering. Finally, if you are operating or riding as a passenger on a motorcycle that you do not own, then you could be entitled to no fault benefits. The determination of which insurance company will be responsible for your no fault benefits comes down to who is first in priority. The levels of priority are:

  1. The automobile insurance policy of the registered owner of the motor vehicle involved;
  2. The automobile insurance policy of the driver of the vehicle involved;
  3. The automobile insurance policy of the driver of the motorcycle.
  4. The automobile insurance policy of the owner of the motorcycle.
  5. The Michigan Assigned Claims Plan. http://www.michacp.org/

Contact A Lawyer At Our Oakland County Office

Our skilled attorneys are ready to answer any questions you have regarding your accident or injury. To schedule a free initial consultation, contact us online or call 248-584-1300, toll free 1-855-LISS-LAW.