Michigan Court of Appeals; Docket No. 52273; Published
Judges Gillis, Bashara, and Sanborn; Unanimous; Per Curiam
Official Michigan Reporter Citation: 114 Mich App 53; Link to Opinion 
STATUTORY INDEXING:
12% Interest Penalty on Overdue Benefits – Nature and Scope [§3142(2), (3)]
Requirement That Benefits Were Unreasonably Delayed or Denied [§3148(1)]
TOPICAL INDEXING:
Not Applicable
CASE SUMMARY:
The Court of Appeals, on its own motion, granted rehearing in item number 443 to specifically reconsider whether the same standard of reasonableness should be used to determine whether the plaintiff is entitled to 12 percent interest under §3142(2) of the Act and attorney fees under §3148(1) of the Act The Court held, "Our further review convinces us that the standards for determining the interest awards under the two statutes are in fact dissimilar. . . .Thus, on remand the trial court need only determine whether personal protection insurance benefits were paid within 30 days after reasonable proof of the loss and its amount are conveyed to the insurer to award 12 percent simple interest on an overdue payment However, it will be necessary for the Court to find that the insurer unreasonably refused to pay the claim or unreasonably delayed in making proper payment to order the defendant to pay attorney fees under the statute." In all other respects, the original opinion was unchanged.
