In Michigan, motorcycle injuries usually invoke no fault rules, since there is usually a “motor vehicle” involved. If there is no car or truck involved, however, there may be no insurance coverage and the No Fault system does not come in to play.
History and policy
Motorcyclists often suffer very severe injuries and they are usually not at fault in causing those injuries. As a result, in 1974 when the Michigan No Fault Act was adopted, special rules were written to govern cases involving motorcycles. It was thought that a pure “no fault” reparation system would make motorcycle insurance unreasonably expensive and unfair, because skilled and innocent bikers would have to insure their own injuries. In response, rule exceptions were designed to assure that motorcycle insurance would remain affordable. These rules warrant special attention and explanation.
No involved “Motor vehicles”
First, “motorcycles” are USUALLY not considered to be “motor vehicles” under the No Fault Act*. The rules of mandatory insurance apply to motorcycles differently than they apply to cars. Normally a “motor vehicle” is defined as a vehicle equipped with a motor and four wheels that is designed to be, or actually is, operated on a highway. If someone is injured on a motorcycle and there is no car or truck involved, the No Fault rules normally do not apply and standard rules of fault and compensation do apply. This means, for example, that the injured occupants orOff-road motorcycle accident causing serious injury pedestrians will not receive Personal Injury Protection benefits unless the owner of the bike has purchased this optional coverage. Usually PIP coverage (providing medical expense coverage, wage loss or replacement domestic services) is available to motorcyclists only in limited amounts [usually in $5,000.00 increments] and does not carry the statutorily-infinite limits of PIP coverage that apply to automobiles. It also means that if the operator and owner do not have liability coverage, there may be no insurer to pay for injuries wrongfully sustained, where in normal motor vehicle cases, the owner and operator were legally obligated to purchase coverage. Under recent decisions, it also means that “uninsured” [UM] and “underinsured” [UIM] motorist coverage may be defined to exclude injuries caused by a motorcyclist. See more information about no-fault coverage issues involving motorcycle accidents here.
Involved Motor Vehicle
Car-motorcycle accident causing serious injuryIf, as in most cases, the occupant of a motorcycle is injured in a collision that does involve a “motor vehicle”, the insurer of the owner of the vehicle involved must cover the PIP expenses (i.e., lifetime medical and three years of lost earnings or domestic services) of the cycle occupant(s). This is true even though the motorcycle occupant has no fault insurance of his or her own and even if the motorcycle operator is entirely at fault. In another funny quirk of the law, a motorcycle owner is not penalized for failing to carry insurance on the bike as owner/operators of motor vehicles are. Thus, while insurance rules can be very punitive for operators of uninsured four-wheeled motor vehicles, they are actually quite generous to motorcyclists.
The “involvement” of a motor vehicle can sometimes be relatively attenuated. For example, if a bike strikes motor vehicle debris on the road, this may constitute “involvement” even though the vehicle and operator cannot be identified. Obviously, the same situation obtains were there is a “hit and run” car or truck. In these cases, preserving the evidence of the “phantom” motor vehicle may be essential to qualify for PIP benefits through the state assigned claims plan or through an insured’s UIM or UM policy.
It is important to note that persons occupying un-motorized bicycles are treated entirely differently than persons riding motorcycles. Persons on un-motorized vehicles are treated as pedestrians under the no fault act.
*The one exception in no fault where a motorcycle is treated as a motor vehicle is in the area of property damage: when a victim attempts to collect for the damage to his bike, the “tort reform” courts held that the bike is a “motor vehicle” [which normally must have four wheels and be designed for highway travel] in terms of the financial limitations on what the victim may collect from the wrongdoer or his insurance.
Limitations on Recovery
As in all personal injury cases, there are limitations on recovery of which you should be aware.
Statutes of Limitation
Whenever the law grants a right to seek recovery for wrongdoing, it also places restrictions on how long the victim has in which to take legal action. If the victim delays too long in seeking compensation, he is said to have “slept on his rights” and his claim will not be heard. These limits are called “statutes of limitations” and they vary depending on the nature of the wrong that was committed. In many cases, there are other limitations on taking legal action, as well.