Passenger in a Car Accident in Michigan: What You Need to Know

You’re in the passenger seat of a friend’s vehicle on a drive to get lunch. Then, at the intersection of Napier Avenue and Niles Road, a distracted driver runs a red light and crashes into your side of the car, leaving you with a fractured arm and spinal cord injury. You didn’t see it coming, and you definitely didn’t cause the accident, but now you’re the one dealing with the pain, the hospital bills, and time off work that you didn’t plan for.

If you’re injured as a passenger in a car accident, it’s easy to feel stuck. You’re not sure who’s supposed to pay for what, or even how to get help. Michigan has laws that protect injured passengers, but acting on them and getting the financial compensation you need isn’t easy, so this guide outlines what you need to know. From getting medical care to figuring out which auto insurance company to deal with, here’s how to protect yourself and move forward after the crash.

Michigan’s No-Fault Law for Passengers: An Overview

Michigan is a no-fault state. That means your medical expenses and a portion of your lost wages are often covered under an insurance company’s no-fault coverage, no matter who caused the crash. As a passenger, you’re generally eligible for no-fault benefits, but where those benefits come from depends on your personal situation.

• If you own a vehicle and carry auto insurance, you typically turn to your auto insurance for no-fault benefits, though there are exceptions. Even though you weren’t driving, your insurer is usually responsible for covering your injury-related expenses under what’s called Personal Injury Protection, or PIP. If you don’t have auto insurance, the next applicable policy, in most situations, is your spouse’s policy, or that of a resident relative, such as a parent or sibling.
• If there’s no coverage available in your household, and there’s no higher priority insurance carrier, you can apply for no-fault benefits through the Michigan Assigned Claims Plan. This state-run system will review your application and assign an auto insurance company to handle your compensation claim and pay your benefits.

It’s important to know that there are exceptions to these rules. For example, if you were injured while a passenger in an employer provided vehicle, you typically turn to the insurance company of the company vehicle for your no-fault benefits or to their worker’s compensation insurer.. There are other exceptions as well. For that reason, it is important to consult with an experienced no-fault attorney to identify the insurance company responsible for your no-fault benefits. 

PIP benefits can cover a wide range of expenses, including necessary medical treatment, income loss for up to three years, and services like help with cleaning, cooking, or childcare if you’re unable to do those tasks yourself. If your accident injuries require you to travel for treatment, your mileage is reimbursed. If your care needs go beyond basic treatment and you need in-home assistance, those costs may also be covered, depending on the type of insurance policy at issue. 

It is important to note that no-fault benefits do not include compensation for pain and suffering. Those benefits are recoverable in a personal injury claim against the at-fault driver. However, you must meet the threshold injury requirement to bring a personal injury claim. This standard limits lawsuits to cases that involve one of three circumstances: serious impairment of a body function, permanent serious disfigurement, or death.

A serious impairment must affect your ability to live your normal life. You don’t need to be completely disabled, but the bodily injury must have a meaningful impact on your ability to work, take care of yourself, or carry out your routine activities. If your injuries meet this standard, you may file a third-party claim against the negligent driver or drivers. This claim allows you to recover for pain and suffering and medical expenses and lost income not covered by PIP. It is often necessary to hire an experienced car crash lawyer to pursue your pain and suffering case.

Accidents Involving Uninsured and Underinsured Drivers

If the driver who caused the motor vehicle crash is uninsured or underinsured, your case becomes more complicated, but it’s not a dead end. You still have ways to recover compensation, depending on what coverage you or those in your household carry.

If you have your own auto insurance policy, which includes uninsured motorist coverage, you can file an accident claim with your insurance for uninsured coverage. This type of coverage is optional in Michigan, but if you paid for it, then it steps in when the at-fault driver has no insurance. It can pay for pain and suffering and medical costs and wage loss that go beyond PIP coverage limits. 

If you don’t have uninsured motorist coverage and no one in your household has an active auto policy, you can apply for benefits through the Michigan Assigned Claims Plan. The MACP will assign an insurer to provide you with no-fault benefits like medical care and wage loss. However, this program only covers basic PIP benefits. As we stated earlier, it does not provide compensation for pain and suffering or long-term damages tied to quality of life. Also, depending on the circumstances of the crash, a different auto insurance company may be responsible for PIP benefits. 

When no clear insurance coverage exists, identifying all available options becomes more important and more difficult. These cases often require a closer look at employment coverage, umbrella policies, or third-party liability. Working with an auto accident attorney can help uncover sources of compensation you might not know to look for on your own.

Rideshare and Public Transportation Cases

If you were riding in an Uber, Lyft, or similar rideshare when the auto crash happened, you still generally qualify for no-fault benefits under Michigan law. Just like in any other vehicle, your medical bills and wage loss are typically covered through Personal Injury Protection and usually from your own insurance policy or the policy of a resident in your household. If no coverage is available, you can generally apply through the insurer of the rideshare vehicle. 

In addition to PIP, rideshare companies carry large commercial liability policies. These policies usually cover up to one million dollars in damages when their driver is at fault. If the Uber or Lyft driver caused the crash or played a role in it, you may be able to pursue a claim through that commercial policy. If the other driver was at fault, you may still have the right to sue that driver in a separate claim for pain and suffering, depending on your injuries.

If you were injured as a passenger on a city bus, school bus, or another vehicle operated by a government agency, your case may implicate governmental immunity and/or short, formal notice requirements that must be met, within 60 to 120 days of the crash. In many cases, you must file a formal notice of intent to sue. Missing that window, even by a few days, can prevent you from bringing a claim at all.

If your injury happened in a rideshare or public transit vehicle, the legal process involves multiple layers of insurance, different legal standards, and tighter deadlines. These are cases where you’ll want to speak to an experienced car accident lawyer as soon as possible.

Wrongful Death Claims Involving Passengers

When a passenger is killed in a motor vehicle accident, Michigan law allows surviving family members to pursue compensation through a wrongful death claim. This action must be brought by the personal representative of the deceased person’s estate. The representative, who acts on behalf of all eligible family members, is responsible for managing the claim and notifying those with potential claims of a proposed settlement. 

The types of compensation available in a wrongful death case may include:

• Medical bills related to the auto accident, including emergency care, surgery, and hospital stays prior to death
• Funeral and burial costs, which are often significant and must be paid quickly
• Pain and suffering experienced by the deceased between the time of injury and death
• Loss of financial support that the deceased would have provided to dependents or a spouse
• Loss of companionship, care, and guidance for close family members such as children, a spouse, or parents

Michigan’s Wrongful Death Act governs how the damages are distributed. Once a fair settlement or verdict is reached, the personal representative must notify all interested parties, such as spouses, children, siblings, and parents. If those parties cannot agree on how to divide the compensation, the court will make that decision after a hearing.

What to Do if You’re a Passenger in a Car Accident in Michigan

The steps you take in the first few days after the accident can affect everything from your medical treatment to your eligibility for compensation. Below are some general guidelines that can put you in the best position to file a successful insurance claim.

Step One: Get Medical Help Immediately

After a crash, it’s common for adrenaline to mask pain. You might not notice injuries right away, or you may think you’re fine and decide to wait. Don’t! Delaying treatment can make auto accident injuries worse and weaken your insurance claim. Whether you go to the ER, an urgent care clinic, or your primary doctor, make sure you’re examined by a medical professional. Your medical records from that visit create a clear link between the accident and your injuries, which becomes critical when filing claims.

Step Two: Identify Who Was at Fault

Proving fault is important if you plan to pursue compensation beyond no-fault benefits. That means determining which driver caused the crash. In some cases, both drivers may share responsibility. Police accident reports, photos from the scene, vehicle damage, and witness statements are all used to figure out what happened. As a passenger, you may have the right to sue either driver (or both), depending on how the accident occurred. If you or a loved one is seriously injured, speak with an experienced car crash lawyer before allowing your vehicle involved in the accident to be totaled out by the insurance carrier. Your lawyer may want to inspect the vehicle and download its black box data.

Step Three: Notify the Insurance Company and Start the Claims Process

Once you know which insurance carrier will handle your no-fault claim, notify them as soon as possible. Waiting can delay benefits or cause problems with eligibility. You’ll likely be asked to fill out a PIP application, provide medical bills, wage verification, and explain the details of your treatment. Keep a copy of everything. The more organized your documentation, the harder it is for the insurance provider to question or deny your claim.

It is important to remember that insurance adjusters are trained to control costs. That means they may question your treatment, downplay your injuries, or pressure you into settling quickly. If an adjuster asks for a recorded statement, talk to an attorney before agreeing to it. You may not be required to give one. Do not assume insurance adjusters are on your side. If you’re offered a settlement early on, it’s often because they want to close the case before you understand the full extent of your injuries or your legal rights.

Step Four: Talk to an Auto Accident Lawyer Before You Accept Any Settlement

Once you accept a settlement, the case is closed. You can’t go back later, even if your condition worsens or new symptoms develop. A personal injury lawyer will calculate the full value of your case, including long-term medical care, wage loss, and pain and suffering. They’ll also protect you from lowball offers and claim denial tactics that are common in serious injury cases. 

Speak to a Michigan Car Accident Lawyer Today

While Michigan’s no-fault laws allow injured passengers to recover damages, the steps can be confusing, and the deadlines are unforgiving. Knowing your rights, avoiding early mistakes, and hiring an experienced attorney can mean the difference between a low settlement and the fair compensation you deserve.

If you were injured as a passenger in a car crash, contact Conybeare Injury and Accident Lawyers. Our personal injury law firm has been trusted by accident victims and their families since 1984, and we won’t settle for anything less than the best results in your case. Initial consultations are free, and we only get paid if you win. For more information, fill out this online contact form to schedule your free initial consultation with a personal injury attorney. Remember: if it’s not fair, call the Bear!