PIP deadlines, interest and benefit types in Michigan

Under MCL 500.3145, you generally cannot recover PIP benefits for any part of a loss incurred more than one year before the date you filed suit. If you filed a lawsuit two years after the crash, for example, benefits incurred in the first year would be cut off, subject to the 2019 tolling provision, which can pause the clock after a specific claim but only for expenses incurred on or after June 11, 2019.

The rule is in MCL 500.3145(2). Once written notice of the injury has been given or the insurer has paid benefits, an action may be brought within one year after the most recent allowable expense, work loss or survivor's loss was incurred. But the claimant may not recover benefits for any portion of the loss incurred more than one year before the date the action was commenced. The Michigan Supreme Court has enforced the rule as written, including in Joseph v Auto Club Ins Ass'n, 491 Mich 200 (2012). Since the 2019 amendment, subsection (3) tolls the period from the date of a specific claim for payment until the insurer formally denies it, if you pursued the claim with reasonable diligence. The Michigan Supreme Court has held that subsection (3) does not apply to causes of action that began to accrue before June 11, 2019, so older expenses get no tolling. Spine Specialists of Mich, PC v MemberSelect Ins Co, No. 165445 (Mich Apr 1, 2025). Because the rule works by date incurred, unpaid bills pile up outside the window if a claim sits. That is why the incurred dates, the written claims sent and any formal denial letters should be reviewed at the start.

Authority: MCL 500.3145; Joseph v Auto Club Ins Ass'n, 491 Mich 200 (2012); Spine Specialists of Mich, PC v MemberSelect Ins Co, No. 165445 (Mich Apr 1, 2025). Reviewed Oct. 2026.

To keep a PIP lawsuit alive past one year from the accident, MCL 500.3145 requires written notice of injury to the insurer within one year after the accident, unless the insurer has already paid benefits. The notice can come from you or someone on your behalf and has to give your name and address and the person injured, plus the time, place and nature of the injury.

Under MCL 500.3145(1), an action for PIP benefits may not be commenced later than one year after the accident unless written notice of injury has been given to the insurer within that year or the insurer previously made a payment for the injury. Subsection (4) says the notice may go to the insurer or its authorized agents, by the person claiming or someone on that person's behalf, and has to state the claimant's name and address and, in ordinary language, the name of the person injured and the time, place and nature of the injury. It does not need legal wording. Property protection claims have no notice exception: MCL 500.3145(5) says an action for property protection benefits may not be commenced later than one year after the accident. Written notice should be sent early, with proof of delivery kept, even if you think the claim was already opened by phone. Notice preserves the right to sue, but it does not replace filing suit within the period in subsection (2), which runs one year from the most recent expense incurred, subject to tolling under subsection (3).

Authority: MCL 500.3145. Reviewed Oct. 2026.

Since the 2019 amendments, yes in part. MCL 500.3145(3) tolls the one-year periods from the date of a specific claim for payment until the insurer formally denies the claim, but not if you failed to pursue the claim with reasonable diligence. The tolling applies to the one-year-back period and the filing window under subsection (2), and only for expenses incurred on or after June 11, 2019.

The 2019 amendments added a tolling provision to the one-year rules. MCL 500.3145(3) says a period of limitations applicable under subsection (2) to the commencement of an action and the recovery of benefits is tolled from the date of a specific claim for payment of the benefits until the date the insurer formally denies the claim. The exception is a claimant who does not pursue the claim with reasonable diligence. Three points matter in practice: the statute requires a specific claim for payment and a formal denial, delay on your side can defeat the tolling, and the Michigan Supreme Court held in Spine Specialists of Mich, PC v MemberSelect Ins Co, No. 165445 (Mich Apr 1, 2025), that subsection (3) does not apply to causes of action that began to accrue before June 11, 2019, so expenses incurred before that date get no tolling. A claim that is simply ignored may not have a formal denial date. Keep a log of every request, the response, and each denial letter so the tolling period can be shown later.

Authority: MCL 500.3145; Spine Specialists of Mich, PC v MemberSelect Ins Co, No. 165445 (Mich Apr 1, 2025). Reviewed Oct. 2026.

Yes. In Joseph v Auto Club, the Michigan Supreme Court held that the minority and insanity tolling provision, MCL 600.5851, affects when an action may be brought but does not remove the one-year-back limit on recoverable benefits. A person under 18 gets one year after turning 18 to file, but recovery can still be limited to losses within one year before suit.

MCL 600.5851(1) gives a person who is under 18 or insane when a claim accrues one year after the disability is removed to bring the action even though the limitations period has run. In Joseph v Auto Club Ins Ass'n, 491 Mich 200 (2012), the Court held that this saving provision addresses only the timing of the action and does not reach the one-year-back rule in MCL 500.3145, which limits how much can be recovered. So a minor's guardian or parents should not wait. Written notice and a suit within the no-fault timelines protect benefits that would otherwise age out. The 18-year age in MCL 600.5851 is the age used by that tolling statute, and the disability must exist when the claim accrues. The dates of each unpaid expense should be reviewed before deciding whether anything is already outside the window.

Authority: Joseph v Auto Club Ins Ass'n, 491 Mich 200 (2012); MCL 600.5851; MCL 500.3145. Reviewed Oct. 2026.

PIP benefits are overdue if not paid within 30 days after the insurer receives reasonable proof of the fact and of the amount of the loss. An additional 60 days applies to medical bills not submitted within 90 days of the service. An overdue payment bears simple interest at 12% per year under MCL 500.3142.

MCL 500.3142 makes benefits payable as the loss accrues and sets the 30-day rule in subsection (2). If proof covers only part of the claim, that part is overdue after 30 days, and later-supported parts have their own 30 days. Subsection (3) adds a rule for medical expenses: if a bill is not provided to the insurer within 90 days after the service, the insurer has 60 days in addition to the 30 days before the benefit is overdue. Under subsection (4), an overdue payment bears simple interest at 12% a year. For claim purposes, a payment is treated as made when the draft was mailed. Interest is separate from attorney fees under MCL 500.3148, which require a showing that the insurer unreasonably refused or delayed. Itemized bills and records should be sent in writing and copies kept, because the clock turns on when the insurer received reasonable proof.

Authority: MCL 500.3142; MCL 500.3148. Reviewed Oct. 2026.

Yes, in some cases. Under MCL 500.3148(1), a reasonable attorney fee is charged against the insurer in addition to the benefits recovered if the court finds the insurer unreasonably refused to pay the claim or unreasonably delayed making proper payment. The statute also lets a court award fees to the insurer against a claimant for a fraudulent or baseless claim.

The fee-shifting rule is in MCL 500.3148(1) and applies to actions for overdue personal or property protection benefits. The question is the insurer's reasonableness, which a court decides on the facts of the particular claim. On the other side, subsection (2) lets a court award the insurer a reasonable fee for defending a claim that was in some respect fraudulent or so excessive as to have no reasonable foundation. Subsection (1) also bars an attorney from filing a lien for a fee until a payment is authorized and overdue, subsection (4) limits fees on future attendant care payments ordered more than three years after judgment, and subsection (5) bars fees where the attorney has a financial interest in the provider. The fee arrangement is explained at the consultation, before you decide whether to hire a lawyer.

Authority: MCL 500.3148. Reviewed Oct. 2026.

PIP work loss covers income you would have earned from work you would have performed during the first three years after the accident if you had not been injured. The benefit is reduced by 15% unless you prove a lower tax advantage, is subject to a monthly maximum that is adjusted annually, and ends if you die. It is not unlimited wage replacement.

MCL 500.3107(1)(b) defines work loss as loss of income from work an injured person would have performed during the first three years after the accident. Work loss does not include any loss after the date the injured person dies. Because PIP income benefits are not taxable, the benefit is reduced 15% unless the claimant presents reasonable proof of a lower value of the income tax advantage. A monthly cap applies to work loss plus income earned in the same 30-day period, and the cap is adjusted yearly, with a change applying only to accidents after the change date. Proof matters: pay stubs, tax returns, an employer statement of the hours you would have worked, and a medical restriction from a physician. Self-employed people have extra proof issues. Work loss above the monthly or three-year PIP limits can sometimes be recovered from an at-fault driver as excess economic loss under MCL 500.3135(3)(c), which is separate from the serious impairment threshold that governs noneconomic damages.

Authority: MCL 500.3107; MCL 500.3135. Reviewed Oct. 2026.

Replacement services pay for ordinary and necessary services you would have done for yourself or your dependents if you had not been injured, such as household tasks. MCL 500.3107(1)(c) limits the benefit to $20 per day, for expenses reasonably incurred, for the first three years after the accident.

Under MCL 500.3107(1)(c), PIP covers expenses not exceeding $20 per day reasonably incurred in obtaining ordinary and necessary services in lieu of those that, if the person had not been injured, the person would have performed during the first three years after the accident, not for income but for the benefit of the person or a dependent. Typical examples are cleaning, laundry and yard work that a household would otherwise do itself. The word incurred matters. The benefit generally depends on having actually incurred the expense, such as paying someone, so a record of who did what and what was owed helps. Replacement services are separate from attendant care, which falls under allowable expenses. When someone dies from the injury, survivors can claim a related service expense under MCL 500.3108.

Authority: MCL 500.3107; MCL 500.3108. Reviewed Oct. 2026.

MCL 500.3108 provides PIP survivor's loss benefits to dependents for contributions of tangible economic support they would have received from the deceased, plus up to $20 a day for services the deceased would have performed. The benefit is capped in any single 30-day period, with a base figure of $1,475 for accidents on or after October 1, 1978 that is adjusted yearly for later accidents, and it is not payable beyond the first three years after the accident.

Survivor's loss under MCL 500.3108(1) is the loss, after the date of death, of contributions of tangible things of economic value, not including services, that dependents would have received from the deceased for support during their dependency, plus replacement service expense of up to $20 a day. The statute states a base maximum of $1,475 in a single 30-day period for accidents on or after October 1, 1978, and subsection (2) calls for annual cost-of-living adjustments that apply only to later accidents, so the current dollar figure depends on the accident date. The maximum applies to the combined benefits for all survivors of one deceased person. Benefits are not payable beyond three years from the accident. Survivor's loss is separate from the wrongful death claim in MCL 600.2922, which can compensate for loss of financial support and loss of society and companionship against the person responsible. Funeral and burial costs fall under MCL 500.3107(1)(a). Dependency is a fact question, so proof of household support should be gathered.

Authority: MCL 500.3108; MCL 600.2922; MCL 500.3107. Reviewed Oct. 2026.

PIP allowable expenses include funeral and burial expenses, but only up to the amount set in the policy, which cannot be less than $1,750 or more than $5,000 under MCL 500.3107(1)(a)(ii). Costs above the policy amount are not part of PIP, though they can be part of a wrongful death claim against someone at fault.

MCL 500.3107(1)(a)(ii) provides that allowable expenses do not include funeral and burial expenses in excess of the amount set forth in the policy, which must not be less than $1,750 or more than $5,000. That is why the declarations page or policy booklet matters: the number is in the policy and varies. Reasonable funeral and burial expenses for which the estate is liable can also be recovered in a wrongful death action under MCL 600.2922(6), and the court orders them paid from proceeds first. A family should also ask which insurer has priority under MCL 500.3114, since the right insurer to pay may not be the decedent's own. The funeral invoice and proof of payment should also be preserved, since the insurer is entitled to reasonable proof under MCL 500.3142.

Authority: MCL 500.3107; MCL 600.2922; MCL 500.3114; MCL 500.3142. Reviewed Oct. 2026.