Rights of Victims Injured in Out-of-State Auto Accidents

Every summer, many Michigan residents travel to another state on vacation. Certainly, none of these travelers plan on getting into an auto accident when they are far away from home.

But if an accident happens to you or a loved one, we want to make sure you know your legal rights.

The following are some important questions frequently asked by Michigan residents involved in out-of-state accidents:

Will my own Michigan no-fault automobile insurance provide coverage if I am in a car accident in another state?

Yes. According to Michigan law, your no-fault auto insurance will cover most of your economic losses, if the accident occurred anywhere in the United States or Canada. In addition, you may be able to recover further damages under the law of the state where the accident happened, if it resulted from another driver’s negligence.

How much will my own no-fault auto insurance policy cover, if the accident occurred outside of Michigan?

Michigan law requires insurance companies issuing no-fault auto policies to Michigan drivers to provide “residual liability insurance” to cover any gap between the amount of coverage required in this state and the amount required in another state. In short, your insurance company must provide additional no-fault coverage, if you are involved in an accident in a state that has a higher minimum requirement than Michigan.

Will my own Michigan auto insurance policy cover damage to a rental car?

Maybe. If your own auto insurance policy includes property damage coverage, you would have coverage to repair or replace a rented vehicle, up to the limits stated in your policy. However, many Michigan residents who own older cars decide to save money, by carrying no property damage coverage for their own vehicles. If you are in this situation, it would be wise to get additional insurance to cover the costs of damage to a newer, more valuable rental car.

If I am hurt in an out-of-state auto accident, will my own auto insurance pay for the medical bills?

Yes. Michigan law requires your own no-fault insurance company to pay all reasonable health care costs, even if you need treatment from a doctor or hospital in another state. In addition to medical expenses, your Michigan no-fault policy will provide wage loss benefits and replacement service costs (up to $20/day) for up to three years after accident, as well as attendant care for as long as medically necessary.

Is there coverage for Michigan residents injured in out-of-state accidents, if they do not get their own Michigan no-fault auto insurance coverage?

Yes. Michigan law sets the priority for the insurance company which would be responsible for covering an individual in this situation, in this order:

• Michigan no-fault insurer of a resident relative (insured parent, sibling, child, or other relative who lives in the injured victim’s household)
• Michigan no-fault insurer of the owner of the vehicle occupied by the injured victim at the time of the accident
• Michigan no-fault insurer of the driver of the vehicle occupied by the injured victim at the time of the accident
• State of Michigan Assigned Claims Facility

Does a Michigan resident injured in another state have a right to seek damages from a careless driver who caused an accident?

Maybe. The law of the state where the accident happened would determine whether the injured person could file a lawsuit against the at-fault driver. The accident victim could seek compensation for pain and suffering, as well as economic losses not covered by Michigan no-fault insurance, to the extent these damages were allowed by the other state’s law.

As you can see, the Michigan laws regarding out-of-state auto accident claims are very complex, because your compensation could be determined by Michigan law, the other state’s law, as well as provisions in your no-fault insurance policy.

Therefore, if you or a loved one was injured in another state, talk with an experienced Michigan auto accident lawyer immediately.

Click here to get a free, confidential legal consultation about your car accident injury claim today.