Michigan Court of Appeals; Docket No. 70633; Published
Judges Gillis, Cynar and Bosman; Unanimous; Per Curiam
Official Michigan Reporter Citation: 143 Mich App 661; Link to Opinion
STATUTORY INDEXING:
Noneconomic Loss Liability of Uninsured Tortfeasors [§3135(1), (3)]
Liability for Economic Loss Caused By Uninsured Tortfeasors [§3135(3)(b)]
PIP Insurer’s Right to Reimbursement for Claims Paid Arising Out of Uninsured Vehicle Injuries [§3177(1)]
TOPICAL INDEXING:
Not Applicable
CASE SUMMARY:
In this unanimous per curiam Opinion, the Court of Appeals ruled that the reimbursement provisions of §3177 permit a PIP insurer to seek reimbursement from an uninsured motorist for PIP benefits previously paid, only where the PIP benefits were paid to a person occupying an uninsured vehicle or to a spouse or relative resident in the household of an owner of an uninsured motor vehicle. Thus, in this case, plaintiff insurer was not entitled to seek reimbursement from defendant uninsured driver for the reason that plaintiff Aetna paid PIP benefits to a fatally injured person who was occupying an insured vehicle, not defendant's uninsured vehicle.
The court also held that a criminal restitution sentence imposed upon defendant did not immunize him from the reimbursement penalties of §3177 where the insurer is legally entitled to seek reimbursement under that section.
Finally, this court agreed with previous decisions that the no-fault statute did not abolish the tort liability of uninsured motorists. Such defendants are "outside the basic no-fault system," and thus retain full tort liability.