Auto Insurance Laws Impacting Lives of Michigan Accident Victims

shutterstock_1187007133-300x194As Michigan’s auto insurance laws take effect, many accident victims are already facing the consequences of the drastic changes. The new rules are Part II of the state’s auto insurance overhaul. The first facet of the changes took place last year and provided Michigan drivers with an option of how much no-fault medical coverage they must purchase with their auto insurance policy. Before the overhaul, the law required Michigan motorists to purchase unlimited, lifetime coverage.

The most critical change impacts those receiving care at rehabilitation clinics and from other providers who treat accident victims. The changes will require these centers and providers to cut their prices by 45%. The reductions will likely impact the nearly 7,000 Michigan accident victims who are receiving treatment paid for by their auto insurance policies. For instance, as described in a recent news report, a case manager who handles the care of accident victims recently described how the changes are already impacting her clients.

The woman’s client has quadriplegia and a traumatic brain injury from a car accident. He is unable to engage in typical daily activities without assistance. The man requires assistance leaving his bed, using the restroom and getting food and water. Unfortunately, he is dependent on his caregivers, previously paid for by his insurance company, to do any of these necessary tasks. The recent changes forced the case manager’s company out of business, which has left him without any care. The case manager frantically tried to arrange care for him, but without family or friends, she was forced to take him to a hospital.

In response to these cases, Governor Whitmer signed a bill last week establishing a $25 million grant to health care providers who faced reimbursement cuts. The grant is designed to ease the transition during the 45% reimbursement cuts. However, with the number of Michiganders receiving care in conjunction with the pending catastrophic claims, the grant will likely run out very soon. While lawmakers express their concern for these individuals, the fact remains that many of the state’s most vulnerable populations will be left without crucial health care.

Those who have suffered severe injuries in a Michigan car accident should consult with an attorney to discuss their rights and remedies in these situations. In cases where the accident was the result of another’s negligence, the victim may be able to recover compensation through a personal injury lawsuit.

Have You Suffered Injuries in a Michigan Accident?

If you or someone you love has suffered severe injuries in a Michigan car accident, contact the Neumann Law Group for assistance. The attorneys at our office are up-to-date on all of the laws impacting Michigan accident victims and their families. We work to diligently ensure that our clients recover the compensation they deserve to cover the full extent of their losses. Our office handles Michigan accident claims stemming from motor vehicle collision, defective products, medical malpractice, and nursing home abuse and negligence. Contact our office at 800-525-6386 to schedule a free initial consultation with an attorney on our team.

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