Being involved in a crash sets up a chain of events that inspires considerable costs. The expenses of a crash may, for example, involve paying for medical bills, vehicle repairs and other related costs. All of which can result in considerable impacts on a crash victim’s finances.
One of the immediate concerns after a crash is how victims’ costs will be covered. If you have recently been injured in an accident, learning about how the compensation claim process is handled in Michigan may help you to determine your next steps.
Michigan’s no-fault insurance system
Michigan uses a no-fault insurance system, which means each driver’s insurance covers specific expenses after a crash without considering which driver was at fault for a wreck. These expenses include lost wages, economic losses and medical expenses under a policy’s Personal Injury Protection (PIP) coverage.
There’s no need to prove fault in many cases. But, there are three exceptions to this rule:
- You have a serious impairment
- You’re permanently disfigured
- Your medical expenses exceed established thresholds
If the other driver is found to be at fault and you meet these criteria, you may be able to pursue a claim against them for additional damages, such as pain and suffering.
What if you’re partially at fault?
Michigan uses a modified comparative negligence rule to determine how much compensation you can receive after a crash if there’s a personal injury lawsuit filed. This means that if you’re not primarily at fault, but you’re partially to blame for your own harm, you’ll be assigned a percentage of fault.
The percentage you’re assigned determines by what percentage any compensation award will be reduced in the event of a favorable outcome. For example, if you’re assigned 25% fault, your compensation would be reduced by that amount. This means $100,000 damages would be reduced to $75,000.
Understanding the current laws in Michigan is critical if you plan to seek compensation for any injury that you have suffered in a crash caused by another’s negligence. Because of no-fault insurance reforms, staying abreast of what applies to specific cases can be challenging. Working with a legal representative may be beneficial as a result.