Michigan Court of Appeals; Docket No. 116780; Unpublished
Judges Sullivan, McDonald, and Cynar; Unanimous; Per Curiam
Official Michigan Reporter Citation: Not Applicable; Link to Opinion
In this remand of the decision summarized in Item No. 1162, the Court of Appeals reversed on the basis of the Sixth Circuit Court of Appeals decision in Northern Group Services v Auto Owners and held that the federal ERISA statute did not preempt coordination of benefits rules under the Michigan No-Fault Act. Accordingly, a no-fault insurer who paid no-fault benefits to an accident victim was entitled to recover reimbursement from the victim's health insurer. In this case, the health insurance was in the form of a group insurance plan known as the Georgie Boy Manufacturing Trust which provided hospitalization and medical benefits. Under Northern Group Services, ERISA preemption did not apply to such plans because this would run totally contrary to the coordination scheme established by §3109a of the No-Fault Act.