Qualified Health Coverage & Michigan No-Fault Insurance

Key Takeaways

• You can opt out of PIP medical car insurance requirements if you have qualified health coverage (QHC).
• Under Michigan laws, QHC coverage means you have either medicare, or health insurance coverage that does not limit or exclude car accidents and has an annual deductible of $6,000 or less per person.
• Your proof of QHC letter should include the full names and birth dates of all people covered by the policy.
• Matz Injury Law can help you understand your rights and options related to auto accidents and PIP coverage.

In 2020, Michigan revised its car insurance laws to allow residents to opt out of personal injury protection (PIP) medical coverage if they have qualified health coverage.

While this option can save you money on your car insurance payments, it can also affect your compensation and coverage after a car accident.

Learn more about qualified health insurance and its pros and cons. If you’ve been in a car accident in Michigan, contact Matz Injury Law for a free consultation to discuss your options based on your insurance coverage.

What is Qualified Health Coverage in Michigan?

Under Michigan law Section 500.3107d, there are two options for qualified health coverage (QHC):

1. Health insurance that does not exclude or limit coverage for injuries that occur during a motor vehicle accident. The annual deductible for coverage must also be $6,000 or less for each person.
2. Medicare coverage

Related Article: Michigan No-Fault Laws and Most Common Questions Answered

Do I Need PIP in Michigan if I Have Qualified Health Coverage (QHC)?

If you have qualified health coverage (that meets the standards listed above), you do not have to purchase PIP coverage separately. However, reducing or opting out of your PIP insurance coverage is risky, even if you have qualified health coverage. Consider some of the risks and trade-offs that are likely if you make the decision not to purchase PIP coverage and rely instead on your qualified health insurance:

• PIP covers most medical expenses: PIP typically covers all types of medical expenses related to your accident, including hospitalization for the incident, any surgical procedures, and ongoing medical care you need to recover.
• PIP can cover lost wages: Unlike health insurance, PIP may provide coverage for the wages and benefits you lose because you could not work due to your car accident.
• PIP covers funeral costs: If you die in a car accident due to your injuries, PIP may provide financial compensation to your family members to pay for your funeral and burial costs. Health insurance does not provide this.
• PIP may cover home care and replacement services: In some PIP policies, the cost of paying someone to help you with home tasks, such as caring for your child or providing help with cleaning, may be covered. However, this is not covered in a health insurance plan.

While your health plan may provide for your medical needs after an auto accident, an auto policy may provide you with more extensive protections beyond medical needs. The coverage pays for more services you may need beyond what your health care plan typically offers.

Related Article: If I Have Medicare, Can I Opt Out of PIP Insurance?

How Do I Know If I Have Qualified Health Coverage (QHC)?

Under Michigan’s laws, qualified health coverage must include coverage for auto accident injuries. To meet this requirement, you must have:

• Medicare Parts A and B or a Medicare Advantage Plan OR
• Health insurance that does not exclude injuries that occur in a car accident and has a deductible of no more than $6,000

The health insurance provider may provide you with a document and explanation about your coverage when asked. It should specifically state that your policy is considered QHC. If your policy does not, or you are unsure if you meet any of the above requirements, contact your insurance agent to gain more insight.

Why Clients Choose Matz Injury Law For Legal Support After Car Accidents

Matz Injury Law has been advocating for car accident victims since 1977. We have driven thousands of miles across Michigan and earned over $300 million in settlements for our clients. We care about our clients, which is why we advocate for them and encourage Michigan drivers to get the insurance coverage they need to protect themselves when the worst happens.

Let us fight for you to help you get the right protection for your needs. We hold insurance companies accountable and fight to get you the maximum compensation in your case. We also charge a lower contingency fee than most law firms, meaning you keep more money with Matz.

• $1.74 million settlement awarded in Colhoun County collision causing the death of a father and three children
  • The client kept an additional $197,142 with Matz Injury Law’s “22, not 33” promise.
• $1.3 million settlement in a Monroe County accident involving a mother and daughter in a truck collision
  • The client kept an additional $147,200 with Matz Injury Law’s “22, not 33” promise.

Related Article: Championing a Lower Attorney Contingency Fee

Testimonials

“Steve is nothing short of amazing! He is currently helping me with my lawsuit and has been THE best, very knowledgeable, and works hard!!! Very guiding and informational, and the guidance he gives every step of the way is phenomenal. I’d be lost without help!” — Tiffany L.

“Steve was outstanding from the first telephone conversation all the way through until he settled my case at an amount that exceeded my expectations. He is a consummate professional and a compassionate attorney, and I would highly recommend him if you ever find yourself in need of a personal injury attorney.” — Sharyn G.

Matz Injury Law Has You Covered

Let Matz Injury Law help you understand your rights and options related to auto accidents and PIP coverage. Contact us at 1-866-22NOT33 or fill out our contact form to schedule a free consultation.