As Michigan drivers continue to see gas prices spike, the Michigan Catastrophic Claims Association (MCCA) recently announced that the current assessment of $192 per year per vehicle will rise by $28 to $220 per vehicle, effective July 1.
The MCCA fund is used to cover catastrophic claims. When an insurer surpasses the threshold (currently set at $580,000 per claim), the insurer can then turn to the MCCA and seek reimbursement for benefits above and beyond the $580,000 threshold. The threshold is determined by the date of the accident.
Critics have long complained that because the MCCA is not subject to the Michigan Freedom of Information Act, there isn’t enough transparency, preventing the public from confirming or even challenging whether the fees are proportionate to the amount of losses actually paid or likely to be paid.
In light of the increase in the MCCA annual assessment per vehicle, insurers should update their systems and notify their agents of the new changes.
Add a comment
Topics
- No Fault Liability
- Motor Vehicle Liability
- Transportation
- Trucking Liability
- Appellate Law
- Civil Litigation
- Cargo Liability
- Auto Liability
- Personal Injury Protection (PIP)
- Artificial Intelligence
- Insurance
- Fraud Activity
- Underinsured Motorist Insurance (UIM)
- Negligence
- insurance policy
- Sanctions
- Premises Liability
- Coronavirus
- COVID-19
- Judicial Estoppel
- Retail Liability
- Driver Exclusion
- Bankruptcy
- Risk Management
- Governmental Immunity
- Medicare Issues
Recent Updates
- What Canty v Mason Means for Michigan Auto Accident Defendants and Insurers
- Appellate Court Rules ‘Novel’ Pain Treatment Fails to Meet Reasonableness, Necessity Requirements for Payment of Michigan No-Fault Benefits
- How Truck Driver Monitoring with AI Technology is Reshaping Accident Litigation
- Ruling Clarifies Application of Michigan No-Fault Act’s Fee Schedule for Motorcycle Accident Claims Regardless of When Policy was Issued
- Michigan Supreme Court Denies Plaintiff’s Push to Retroactively Apply Amended No-Fault Act
- Michigan Appeals Court Affirms Key Limits on Underinsured Motorist Coverage
- U.S. Court of Appeals for the Sixth Circuit Limits Scope of Preemption Governing Freight Broker’s Selection of Motor Carrier
- Fee Schedule Applies to Third-Party Claims for Excess Allowable Expenses
- Appellate Court Rules Insured Entitled to Unlimited Attendant Care Benefits
- Case Update: Appellate Court Updates Recent Decision to Published Status, Expanding Definition of ‘Unlawful’ Under Michigan PIP Law
