Michigan No-Fault Benefits For Fatal Car Accidents
When a Michigan resident dies as a result of injuries sustained in a fatal car accident in Michigan, the deceased individual’s estate is entitled to certain personal protection insurance (PIP) benefits under Michigan’s No-Fault Act. Understanding the benefits available to the estate can be difficult, and requires diligence by the representative of the estate to ensure that these benefits are collected.
What Benefits Are Available In Fatal Car Accidents?
Under Michigan’s auto no-fault law, the dependents of an individual killed in a car accident are entitled to the following benefits:
Survivor’s loss benefits for the three-year period following the individual’s death, including:
- The after-tax income that the deceased would have earned.
- The value of fringe benefits that the were available to the deceased and his/her family that are subsequently lost or diminished as a result of the deceased’s death.
- The value of any other activity of the deceased’s that resulted in the production of “tangible things of economic value”.
- The same type of replacement services that are compensable in non-death cases.
Reasonable funeral and burial expenses incurred as a result of the death are also permitted.
Time Restrictions For Fatal Auto Accident Claims
Michigan’s No-Fault Act places strict time restrictions on when a deceased individual’s dependents can collect no-fault benefits. The dependents of an individual killed in a car accident must provide notice of the deceased’s death to the no-fault insurer within one year of the accident.
Additionally, the so-called “one-year-back rule” says the dependents of an individual killed in a car crash may only recover no-fault benefits for the one-year period immediately preceding the filing of a lawsuit. In essence, this rule requires that the dependents of the victim bring a lawsuit within one year of the victim’s death.
Because of these mandatory time restrictions, dependents of loved ones killed in motor vehicle collisions are encouraged to immediately contact a Michigan auto accident attorney, who can ensure they receive the full slate of benefits to which they are entitled.