The new maximum monthly survivor’s loss rate that a car accident victim can recover increases $54 to $5,452 per month on October 1, 2016
What will be the most that a Michigan auto accident victim can receive in monthly No Fault survivor’s loss benefits for 2015-16?
“[T]he new … survivors’ loss benefit payable, effective October 1, 2016 through September 30, 2017, shall not exceed $5,452 per single 30-day period.”
That’s according to the Michigan Department of Insurance and Financial Services (DIFS)’s Bulletin 2016-19-INS, entitled “Annual Adjustment of the Maximum Work Loss Benefit and Survivor’s Loss Benefits Payable under Policies of Personal Protection Insurance.”
Significantly, the monthly No Fault survivor’s loss max will increase by $54 from the 2015-2016 maximum amount of $5,398 “per single 30-day period.”
How do No Fault survivor’s loss benefits work?
As an attorney helping people injured in serious car and truck accidents, I’ve witnessed the important and vital protections afforded by the survivor’s loss benefits guaranteed under Michigan’s No Fault law.
Here’s how survivor’s loss benefits work if you have lost a loved one in a Michigan car accident:
- What is compensable under survivor’s loss?: No Fault “personal protection insurance benefits” (also known as No Fault PIP benefits” are “payable for a survivor’s loss which consists of a loss, after the date on which the deceased died, of contributions of tangible things of economic value, not including services, that dependents of the deceased at the time of the deceased’s death would have received for support during their dependency from the deceased if the deceased had not suffered the accidental bodily injury causing death and expenses, not exceeding $20.00 per day, reasonably incurred by these dependents during their dependency and after the date on which the deceased died in obtaining ordinary and necessary services in lieu of those that the deceased would have performed for their benefit if the deceased had not suffered the injury causing death.” (MCL 500.3108(1))
- Who pays?: No Fault survivor’s loss benefits are paid by the deceased car accident victim’s auto insurance company and they’re paid “without regard to fault,” i.e., regardless of whether the deceased person was at-fault in causing the accident that resulted in his or her death. (MCL 500.3105(1) and (2))
- How long are survivor’s loss benefits collectible?: Survivor’s loss benefits are “not payable beyond the first three years after the date of the accident” that resulted in the car accident victim’s death and they’re capped at a monthly “maximum” amount (which is stated above) that’s “adjusted annually” to “reflect changes in the cost of living,” but a “change in the maximum shall apply only to benefits arising out of accidents occurring subsequent to the date of change in the maximum. The maximum shall apply to the aggregate benefits for all survivors payable under this section on account of the death of any one person.” (MCL 500.3107(1)(b))
Here’s more information about applying for survivor’s loss benefits, how survivor’s loss benefits are calculated and what the requirements are for collecting “excess” wage loss benefits.