Michigan Court of Appeals; Docket No. 75360; Unpublished
Judges Cynar, Wahls, and Pinch; Unanimous; Per Curiam
Official Michigan Reporter Citation: Not Applicable; Link to Opinion 
STATUTORY INDEXING:
Nature of Survivor’s Loss Benefits [§3108(1)]
Calculation of Survivor’s Loss Benefits and Maximums [§3108(1)]
Dependents [§3108(1)]
Standards for Deductibility of State and Federal Governmental Benefits [§3109(1)]
State Workers Compensation Benefits [§3109(1)]
Social Security Retirement Benefits [§3109(1)]
TOPICAL INDEXING:
Workers Disability Compensation Act (MCL 418.1, et seq.)
CASE SUMMARY:
In this unanimous per curiam Opinion, with Judge Cynar concurring in the result only, the Court of Appeals reversed and remanded a circuit court judgment in favor of defendant Providence Washington Insurance Company on plaintiff’s claim for no-fault survivor's benefits.
Plaintiff had filed a claim for survivor's loss benefits arising out of the death of her father on May 12, 1986, while in the course of his employment. The surviving family (spouse and 2 children) had received weekly workers' compensation survivors' benefits for a period of 15 months following the death of Jay Fulkerson. Future payments were then redeemed for a lump sum. In addition, the survivors had each individually received Social Security benefits as a consequence of Fulkerson's death. In addition, a third-party product liability action resulted in a settlement, at which time the workers' compensation carrier was reimbursed for compensation benefits previously received by the family, pursuant to the provisions of MCLA 418.827; MSA 17.237(827).
The trial court, on October 28, 1983, held that any survivor's benefits to which the plaintiff (surviving daughter) might be entitled for three years following the death of her father, must be reduced by the aggregate amount of Social Security and workers' compensation benefits received by plaintiff, her brother, and her mother for the three years following the death of plaintiff s father. Since the amount of Social Security and workers' compensation benefits were in excess of the maximum survivors' benefits payable at the time, the court entered judgment in favor of the defendant's insurance company. The trial court also held that the subsequent total reimbursement of workers' compensation benefits from the proceeds of the product liability action did not affect defendant no-fault insurer's right to deduct the amount of workers' compensation benefits from any survivors' benefits payable to plaintiff.
On appeal, the Court of Appeals reversed the trial court on the issue of workers' compensation setoff. Because the compensation insurer was previously reimbursed from the proceeds of the product liability action, the no-fault insurer is no longer entitled to a setoff for such benefits.
The second issue concerned whether the Social Security benefits received by plaintiff’s mother and brother should be subtracted from benefits due, or whether the setoff should be limited to the amount received by plaintiff alone. Based upon the provisions of §3108(2), the Court of Appeals agreed with the defendant insurance company that it would be unfair to allow plaintiff the total amount of no-fault survivors' benefits for all survivors, and yet only setoff the Social Security benefits received by plaintiff.
The Court of Appeals reversed the judgment as to the workers' compensation setoff, and remanded for a recalculation of benefits in light of its ruling on this issue.
