April 29, 2009, Introduced by Reps. Scripps, Kandrevas, Haugh, Nathan, Switalski, Roberts, Constan, Haase, Slezak, Barnett, Slavens, Smith and Warren and referred to the Committee on Judiciary.
A bill to amend 1956 PA 218, entitled
"The insurance code of 1956,"
by amending sections 3141 and 3145 (MCL 500.3141 and 500.3145).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 3141. An insurer may require written notice to be given
as soon as practicable after an accident involving a motor vehicle
with respect to which the policy affords the security required by
this chapter. However, a notice requirement shall not shorten any
limitations period or notice period established under this act or
applicable to claims made under this act.
Sec. 3145. (1) An action for recovery of personal protection
insurance benefits payable under this chapter for accidental bodily
injury
may shall not be commenced later than 1 year after the date
of the accident causing the injury unless written notice of injury
as
provided herein in this
section has been given to the insurer
within 1 year after the accident or unless the insurer has
previously made a payment of personal protection insurance benefits
for the injury. If the notice has been given or a payment has been
made, the action may be commenced at any time within 1 year after
the most recent allowable expense, work loss, or survivor's loss
has been incurred. However, the claimant may not recover benefits
for any portion of the loss incurred more than 1 year before the
date on which the action was commenced. The notice of injury
required by this subsection may be given to the insurer or any of
its authorized agents by a person claiming to be entitled to
benefits, therefor,
or by someone in a
person acting on his or her
behalf. The notice shall give the name and address of the claimant
and indicate in ordinary language the name of the person injured
and the time, place, and nature of his or her injury as the injury
is reasonably known to the person giving the notice at the time the
notice is given. Notwithstanding any other provision of this act to
the contrary, the 1-year period for bringing a claim or for
recovering benefits on a claim is suspended from the date a
specific claim for benefits is submitted to the insurer until the
date the insurer provides the person making the claim with a formal
written denial of that specific claim.
(2) An action for recovery of property protection insurance
benefits shall not be commenced later than 1 year after the
accident.
(3) Notwithstanding any other provision of law, all time
limitations contained in this section with respect to giving notice
of injury, commencing an action for benefits, or recovering
benefits on a claim are tolled or otherwise suspended as to the
person claiming benefits or others claiming under that person,
including, but not limited to, that person's providers, as follows:
(a) If the person entitled to benefits was under 18 years of
age at the time the claim for benefits accrues, the claim is tolled
until the person reaches 19 years of age, except as otherwise
provided in subdivision (b), regardless of whether a guardian or a
conservator has been appointed for the person.
(b) If the person entitled to benefits suffered from a
condition of mental derangement such as to prevent the person from
comprehending rights he or she is otherwise bound to know at the
time the claim for benefits accrues, the claim is tolled until 1
year after the condition or disability has been unequivocally and
irrevocably removed through death or otherwise, regardless of
whether a guardian or conservator has been appointed for the
person. A judicial declaration of insanity, mental competency, or
mental derangement is not required under this subdivision.
(c) If a person dies before the period of limitations under
subsection (1) has run or within 90 days after the period of
limitations has run, an action surviving by law may be commenced by
the personal representative of the deceased person at any time
within 2 years after letters of authority are issued even if the
period of limitations has run, regardless of whether a guardian or
conservator had ever been appointed for the person. However, an
action shall not be brought under this subdivision unless the
personal representative commences it within 3 years of the time
within which the personal representative was authorized by law to
commence action.
(4) This section applies to any case filed on or after October
1, 1973.
Enacting section 1. Section 3145(3) of the insurance code of
1956, 1956 PA 218, MCL 500.3145, as added by this amendatory act,
is curative and intended to correct the misinterpretation of law
and legislative intent that occurred in the Michigan court of
appeals decision in Cameron v Auto Club Insurance Association, 263
Mich App 95; 687 NW2d 354 (2004).