Michigan No-Fault Law – Maximum Wage Loss
MCL 500.3107(1)(b) provides that where an injured victim cannot work as a result of an auto accident, work loss benefits are payable for up to a maximum of three years. The statute defines work loss benefits as compensation for “loss of income from work an injured person would have performed during the first three years after the date of the accident if he or she had not been injured.”
Under the statute, work loss benefits are payable at the rate of 85 percent of gross pay, including overtime. However, the work loss benefit cannot exceed a monthly maximum, which is adjusted in October of every year to keep pace with the cost of living. These cost-of-living adjustments, however, only apply to accidents occurring after each adjustment date. Therefore, the monthly maximum applicable at the time of the injured victim’s accident is the monthly maximum that continues to apply for the remainder of that person’s three-year benefit period. Set forth below are the monthly maximum benefit levels that have been in effect since 2001:
October 1, 2001 – September 30, 2002: $4,027.00
October 1, 2002 – September 30, 2003: $4,070.00
October 1, 2003 – September 30, 2004: $4,156.00
October 1, 2004 – September 30, 2005: $4,293.00
October 1, 2005 – September 30, 2006: $4,400.00
October 1, 2006 – September 30, 2007: $4,589.00
October 1, 2007 – September 30, 2008: $4,713.00
October 1, 2008 – September 30, 2009: $4,948.00
October 1, 2009 – September 30, 2010: $4,878.00
October 1, 2010 – September 30, 2011: $4,929.00
October 1, 2011 – September 30, 2012: $5,104.00
October 1, 2012 – September 30, 2013: $5,189.00
October 1, 2013 – September 30, 2014: $5,282.00
October 1, 2014 – September 30, 2015: $5,392.00
October 1, 2015 – September 30, 2016: $5,398.0
October 1, 2016 – September 30, 2017: $5,452.00
October 1, 2017 to September 30, 2018: $5,451.00
October 1, 2018 to September 30, 2019: $5,700.00
