People injured car accidents and collecting No-Fault insurance benefits are frequently told by their insurance companies and claims adjusters that they must apply for Social Security Disability. This has led to abuse, which our auto accident attorneys have become very familiar with.
Here’s what commonly happens: Some insurance company adjusters threaten auto accident victims who want to return to work, as well as people who do not qualify, to apply for SSD as a requirement to keep receiving their no-fault benefits. They urge these accident victims to re-apply and keep appealing if they are not awarded disability benefits.
Why, you might ask?
The reason Michigan insurance companies are requiring their own customers to apply for SSD is simple — it saves them money. But there is no basis under Michigan law to have a person apply for Social Security Disability benefits and then be forced to appeal after a denial, just because a no-fault insurance company adjuster is trying to cut costs.
This is where many recent headlines come into play, such as news stories about insurance companies that are crashing the whole Social Security system, by forcing people who clearly will not qualify to keep applying on the off-chance they might save money.
The irony is that Michigan residents are forced to purchase expensive automobile insurance from companies that are supposed to protect them if they’re hurt in a car accident or truck accident. But once someone is actually injured, many auto insurance companies soon require that person to apply for Social Security Disability — planning to transfer part of their wage loss obligation to the public and government by shifting the burden to Social Security.
This is not necessarily the best thing for a case.
Keep in mind that if your no-fault insurer requests that you apply for Social Security, you do have a duty to cooperate, but your duty has important limits. Contact Michigan Auto Law at (800) 777-0028, as soon as an insurance adjuster instructs you to apply. You can also fill out our free consultation form.
We can review how this could affect your case and help you avoid costly mistakes. There is absolutely no fee or obligation.