What is the Michigan Assigned Claims Plan?
The Michigan Assigned Claims Plan (MACP) is a program established by the State of Michigan in 1973 to provide access to Michigan no-fault benefits for people injured in car or truck accidents when no applicable car insurance is available.
Under the MACP, Michigan no-fault benefits are the same as those available to people with car insurance. These benefits include lost wages, doctor and hospital bills, prescription reimbursement, payment for services performed by family members, and other benefits.
It is the plan of “last resort,” meaning if a person does not have auto insurance and is injured in a motor vehicle crash, in most cases that person can turn to the MACP for the payment of no-fault benefits.
The Plan is administered by the Michigan Automobile Insurance Placement Facility, which is based in Plymouth, Michigan. The Facility is managed and operated by member car insurance carriers, or “servicing insurers.”
Who are the Servicing Insurers?
The current servicing insurers are the following:
- Allstate Insurance
- Auto Club Insurance Association (AAA Insurance)
- Farmers Insurance Exchange
- Farm Bureau
- Titan Insurance
- Mackinaw Adminisrators
Who is Eligible Under the MACP?
To become eligible under the MACP, you must apply with the MACP. Applications for no-fault benefits can be made by any person injured accidently arising out of the ownership, operation, maintenance or uses of a motor vehicle (car or truck) as a motor vehicle. Eligible individuals include those involved in a motor vehicle accident, so long as the person is not the owner of an uninsured motor vehicle.
For example, a passenger or pedestrian can obtain Michigan no-fault benefits following a Michigan car accident through the MACP. But the title or registered owner of an uninsured car involved in an accident is ineligible.
Individuals injured while driving a motorcycle are also entitled to PIP benefits through the MACP. However, there are two requirements:
- If the motorcycle owner is in the crash, their motorclycle must have liability insurance.
- A car or truck must have been involved in the motor vehicle accident. The word “involved” has a special meaning so it is important to contact a Michigan car accident lawyer to find out if your case qualifies.
How Does the MACP Work?
There are a few statutes that outline the MACP and how it works. But the main statute is MCL 500.3172, which states:
Basically, the statute says if a person is injured in a Michigan car or truck accident, and no other car insurance is applicable to pay the claim, the MACP assigns a car insurance company to pay the claim and no-fault benefits.
The MACP can also get involved if there is a dispute between 2 or more car insurance companies concerning their responsibility in paying benefits. For example, often two car insurance carriers will accuse the other of being “higher in priority” and thus obligated to pay benefits. This dispute can cause a delay in the payment of much-needed benefits, sometimes lasting many, many months. When this happens, the claimant can apply to the Assigned Claims Plan and ask the Plan to assign an insurance company to pay benefits until the dispute is worked out.
How Much Does the MACP Pay?
The MACP will pay up to $250,000.00 in benefits for car accident related medical expenses. This is the most the Plan has to pay. Often, the insurance company will review medical bills, medical records or send an applicant for an “independent medical examination” to stop payment. When this happens, it is important to contact an aggressive Michigan car accident lawyer.
How Do I Apply for Benefits through the MACP?
Applying for no-fault benefits through the Michigan Assigned Claims Plan can be done online or by downloading an application from the MACP website, completing the application, and then mailing it in to P.O. Box 2250 Farmington, MI 48333. There is no physical location for the MACP that allows applicants to apply in person.
How Difficult is the Application Process?
The Application for Benefits required by the MACP has grown in recent years and become much more onerous. Because the application process and the Plan itself is now controlled by member insurance carriers, what was once a quick three-page application process that only asked basic questions has morphed into a long questionnaire with multiple subparts.
You will be asked about your residency at the time of the accident, motor vehicles in the home at the time, detailed questions about your injuries and the doctors you have treated with since the accident, employer information, and other information.
Click here for a great explanation on how to complete the Application for Benefits.
What Happens After Applying with the MACP?
After an application is filed, in theory, the MACP is supposed to process the application and respond expeditiously to the applicant with additional required information. If the applicant is eligible and no additional information is needed, then a servicing insurer – like Farm Bureau or AAA – is assigned to the claim.
In reality, the MACP will often ask the applicant for documentation showing why a potential car insurance carrier possibly higher in the order of priority is not responsible for paying the claim directly. Without receipt of this documentation, the MACP will refuse to assign a car insurance company to handle the claim.
Is There a Time Limit for Applying to the MACP?
Yes. Applications must be completed and submitted to the MAIPF within one (1) year from the date of the accident. MCL 500.3174.
Can the MACP Cut-Off or Terminate My Benefits?
Yes. The MACP can terminate benefits by sending you to an independent medical doctor of their choosing. That doctor will examine you briefly and then author a report. The insurance company can use the opinions from that report to terminate benefits.
Additionally, the MACP can “suspend benefits” to a car accident victim if they “fail to cooperate” with the Michigan Automobile Insurance Placement Facility. MCL 500.3173a(1).
Injured in a Crash? Contact a Winning Michigan Car Accident Lawyer
For more than 50 years, the Lee Steinberg Law Firm has helped people injured in auto accidents win their cases and get the monetary compensation they deserve. Our Michigan car accident attorneys have recovered hundreds of millions for our clients, including MACP benefits.
We understand what our clients are going through. We know how to get the most money after the severe and life-changing injuries caused by a negligent driver.
Call us at 1-800-LEE-FREE for a free consultation or fill out a contact form today. We never charge anything until we win your case.