2006 Michigan Compiled Laws - Mich. Comp. Laws § 500.3109 Subtraction of other benefits from personal protection benefits; "injured person" defined; deductible provision.

Sec. 3109.

(1) Benefits provided or required to be provided under the laws of any state or the federal government shall be subtracted from the personal protection insurance benefits otherwise payable for the injury.

(2) An injured person is a natural person suffering accidental bodily injury.

(3) An insurer providing personal protection insurance benefits may offer, at appropriately reduced premium rates, a deductible of a specified dollar amount which does not exceed $300.00 per accident. This deductible may be applicable to all or any specified types of personal protection insurance benefits but shall apply only to benefits payable to the person named in the policy, his spouse and any relative of either domiciled in the same household. Any other deductible provisions require the prior approval of the commissioner.

History: Add. 1972, Act 294, Eff. Mar. 30, 1973
Constitutionality: In O'Donnel v. State Farm Mutual Automobile Insurance Company, 404 Mich. 524, 273 N.W.2d 829 (1979), the Michigan supreme court held that § 500.3109(1) does not violate the due process clause or the equal protection clause of the state or federal constitutions.In Underhill v. Safeco Insurance Company, 407 Mich. 175, 284 N.W.2d 463 (1979), the Michigan supreme court held that subsection (3) of this section authorizing the commissioner to approve deductibles was not an unconstitutional delegation of authority.The Michigan supreme court in Mathis v. Interstate Motor Freight System, 408 Mich. 164, 289 N.W.2d 708 (1980), held that § 500.3109(1) as applied to workers' compensation benefits is sustainable under the equal protection clause of the Michigan constitution.
Popular Name: Act 218
Popular Name: Essential Insurance
Popular Name: No-Fault Insurance