September 27, 2005, Introduced by Rep. Gosselin and referred to the Committee on Insurance.
A bill to amend 1956 PA 218, entitled
"The insurance code of 1956,"
by amending section 3107 (MCL 500.3107), as amended by 1991 PA 191.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
3107. (1) Except as provided in subsection (2), personal
Personal protection insurance benefits are payable for the
following:
(a) Allowable expenses consisting of all reasonable charges
incurred for reasonably necessary products, services, and
accommodations for an injured person's care, recovery, or
rehabilitation. Allowable expenses within personal protection
insurance coverage shall not include charges for a hospital room in
excess of a reasonable and customary charge for semiprivate
accommodations except if the injured person requires special or
intensive care, or for funeral and burial expenses in the amount
set forth in the policy which shall not be less than $1,750.00 or
more than $5,000.00. Transportation costs incurred by an injured
person in obtaining care, recovery, or rehabilitation under this
subdivision shall be reimbursed at the greater of 30 cents per mile
or the rate the insurer reimburses its own employees for mileage.
(b) Work
Except as provided in
subsection (2), work loss
consisting of loss of income from work an injured person would have
performed during the first 3 years after the date of the accident
if he or she had not been injured. Work loss does not include any
loss after the date on which the injured person dies. Because the
benefits received from personal protection insurance for loss of
income are not taxable income, the benefits payable for such loss
of income shall be reduced 15% unless the claimant presents to the
insurer in support of his or her claim reasonable proof of a lower
value of the income tax advantage in his or her case, in which case
the
lower value shall apply. Beginning March 30, 1973 For the
period beginning October 1, 2004 through September 30, 2005, the
benefits payable for work loss sustained in a single 30-day period
and the income earned by an injured person for work during the same
period
together shall not exceed $1,000.00 $4,239.00, which
maximum shall apply pro rata to any lesser period of work loss.
Beginning
October 1, 1974 2005, the maximum shall be adjusted
annually to reflect changes in the cost of living under rules
prescribed by the commissioner but any change in the maximum shall
apply only to benefits arising out of accidents occurring
subsequent to the date of change in the maximum.
(c) Expenses not exceeding $20.00 per day, reasonably incurred
in obtaining ordinary and necessary services in lieu of those that,
if he or she had not been injured, an injured person would have
performed during the first 3 years after the date of the accident,
not for income but for the benefit of himself or herself or of his
or her dependent.
(2) A person who is 60 years of age or older and in the event
of an accidental bodily injury would not be eligible to receive
work loss benefits under subsection (1)(b) may waive coverage for
work loss benefits by signing a waiver on a form provided by the
insurer. An insurer shall offer a reduced premium rate to a person
who waives coverage under this subsection for work loss benefits.
Waiver of coverage for work loss benefits applies only to work loss
benefits payable to the person or persons who have signed the
waiver form.