Short answer: In Michigan, your own auto insurance usually pays your medical bills after a crash, even if the other driver caused it. That coverage is called PIP. If you don't have auto insurance, there is an order of who pays next. When PIP runs out, you may have a claim against the at-fault driver.

People are often surprised that the at-fault driver's insurance doesn't pay their hospital bills. Michigan is a no-fault state, so the first stop is almost always your own policy. Here's how it works.

Step 1: Your own no-fault insurer (PIP)

Personal Injury Protection (PIP) pays reasonable, accident-related medical and rehab expenses, plus lost wages, household help and mileage to treatment. Fault doesn't matter for PIP.

How much PIP pays for medical care depends on the coverage level on the policy. Since the 2019 reform, drivers choose unlimited, $500,000, or $250,000, with lower options for people who have qualifying Medicaid or Medicare. If you chose coordinated coverage, your health insurance may have to pay first, and auto pays what health insurance doesn't.

Step 2: If you don't have your own auto policy

Michigan has an order of priority (MCL 500.3114 and 3115). In general:

A policy of your spouse, or of a relative you live with
If you were in a vehicle: the insurer of that vehicle's owner, registrant or driver
If there is no coverage at all, the Michigan Assigned Claims Plan may assign your claim to an insurer

Pedestrians, cyclists and motorcyclists have their own rules. Priority fights between insurers are common. While they argue, your bills sit unpaid, which is a good reason to get help early.

Step 3: When PIP isn't enough, the at-fault driver

You can't sue the at-fault driver for the bills PIP covers, but you can generally pursue them for:

Medical expenses above your PIP limit, which you can claim since the 2019 reform
Lost wages beyond what PIP pays, such as after the three-year limit or above the monthly cap
Pain and suffering, if your injury meets Michigan's threshold of a "serious impairment of body function," permanent serious disfigurement, or death
Damage to your car not covered by your own policy, up to $3,000 (the "mini-tort")

What you should do now

Open a PIP claim with your insurer right away and get the claim number.
Give that claim number to every doctor, hospital and pharmacy so they bill auto insurance, not you.
Get the police report (UD-10), which lists the other driver's insurance.
Keep a folder of bills, letters, and missed-work records.
Watch the deadlines. Written notice to your insurer is generally required within one year of the accident (MCL 500.3145).

Getting bills in your name? Don't ignore them and don't pay them out of pocket without asking questions. Often the provider just needs the auto claim number, or the insurer is wrongly refusing to pay. See what to do if your PIP claim is denied.

Learn more about our car accident cases. Injury cases are handled on a contingency fee: no attorney fee unless money is recovered for you, as explained in your written fee agreement.

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Attorney responsible for this content: Ali Moubarak (P81729), Moubarak Law Firm, P.C., 1 Parklane Blvd., Ste 729 E, Dearborn, MI 48126 · (313) 566-4802.

Attorney advertising. This article is general information, not legal advice, and laws change. Every case is different, and results in past cases do not guarantee a similar outcome. Contacting us does not create an attorney-client relationship.