Advocates still pushing for no-fault reforms in Michigan after end of legislative session
(CBS DETROIT) - Advocates say the legislative session ended before MIchigan lawmakers could make meaningful changes to auto no-fault laws. Those changes are ones that survivors and their caregivers have fought for since, even before the reforms took effect in 2021.
"It's come to such an obvious halt," said Brandy Marsh, the mother of Annabelle, a catastrophic crash survivor. "It's insulting to be honest and dangerous because there's only a few companies left that take care of people like Annabelle."
Marsh's daughter was severely injured in a car crash when she was just 3 years old, and she says the current system just isn't working.
"Annabelle requires intense medical needs since the accident, obviously, but the bills, as it sits right now, doesn't provide a sustainable fee schedule," Marsh said. "And the cap is 45%. I'm not an expert, but it doesn't take a rocket scientist to know you can't pay a company $20 an hour when the nurse alone makes $35."
The 2019 auto no-fault reforms aimed to lower insurance costs in Michigan for insurance customers-- Michigan does have some of the highest rates in the country according to MarketWatch and Experian. The no-fault reforms cut reimbursements by about 45%.
"For anyone injured post-2019, there is zero security out there," said Theresa Ruedisueli, the director of regional operations for Arcadia Homecare. "For those people who have purchased insurance policies, specifically people who had unlimited PIP insurance, meaning they were guaranteed coverage for life. Those people are in jeopardy of not actually receiving that coverage or the providers providing that coverage, not being reimbursed at a sustainable level."
Advocates say they have also felt discouraged by the shortened legislative session.
"This really should be a bipartisan issue, and last year the Democrats blamed it on the Republicans. Well, now we have a Democrat majority in both Senate and House, or we did until this most recent election. We still don't have a resolution. And now we're ending session a month early," said Ruedisueli.
State Rep. Brenda Carter said in a statement she plans to continue working on fixing the no-fault reforms but was unavailable for an interview on Wednesday.