Because Michigan is a “No-Fault” state, your auto insurance company will automatically pay for your medical bills, 85% of your lost wages for up to three years, and almost every other expense you incur arising out of the car accident (these are referred to as “personal injury protection” benefits), regardless of who caused the accident.
However, you will not be automatically compensated for your pain and suffering or lost wages after three years. These damages are recoverable from the at-fault driver’s insurance company. To receive compensation for pain and suffering, Michigan law requires that you establish:
a. You have a “serious impairment of your body function” caused by the car accident, or;
b. You have a permanent disfigurement
Michigan courts have developed a framework to determine whether an injury meets these standards. The value of your claim for pain and suffering arising out of a car accident depends, primarily, on whether the above “thresholds” have been met and, to what extent your injuries have affected your ability to function in the way you did prior to the car accident.