Sec. 3142.
(1) Personal protection insurance benefits are payable as loss accrues.
(2) Subject to subsection (3), personal protection insurance benefits are overdue if not paid within 30 days after an insurer receives reasonable proof of the fact and of the amount of loss sustained. Subject to subsection (3), if reasonable proof is not supplied as to the entire claim, the amount supported by reasonable proof is overdue if not paid within 30 days after the proof is received by the insurer. Subject to subsection (3), any part of the remainder of the claim that is later supported by reasonable proof is overdue if not paid within 30 days after the proof is received by the insurer. For the purpose of calculating the extent to which benefits are overdue, payment must be treated as made on the date a draft or other valid instrument was placed in the United States mail in a properly addressed, postpaid envelope, or, if not so posted, on the date of delivery.
(3) For personal protection insurance benefits under section 3107(1)(a), if a bill for the product, service, accommodations, or training is not provided to the insurer within 90 days after the product, service, accommodations, or training is provided, the insurer has 60 days in addition to 30 days provided under subsection (2) to pay before the benefits are overdue.
(4) An overdue payment bears simple interest at the rate of 12% per annum.
History: Add. 1972, Act 294, Eff. Mar. 30, 1973 ;-- Am. 2019, Act 21, Imd. Eff. June 11, 2019 Compiler's Notes: Act 143 of 1993, which amended this section, was submitted to the people by referendum petition (as Proposal C) and rejected by a majority of the votes cast at the November 8, 1994, general election.Popular Name: Act 218Popular Name: Essential InsurancePopular Name: No-Fault Insurance
Structure Michigan Compiled Laws
Chapter 500 - Insurance Code of 1956
Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302)
218-1956-31 - Chapter 31 Motor Vehicle Personal and Property Protection (500.3101...500.3179)
Section 500.3101b - Repealed. 2011, Act 91, Imd. Eff. July 15, 2011.
Section 500.3101c - Standard Certified Statement.
Section 500.3101d - Qualification as Self-Insurer; Certificate; Issuance; Cancellation.
Section 500.3107 - Expenses and Work Loss for Which Personal Protection Insurance Benefits Payable.
Section 500.3107a - Basis of Work Loss for Certain Injured Persons.
Section 500.3107b - Reimbursement or Coverage for Certain Expenses Not Required.
Section 500.3108 - Survivor's Loss; Benefits.
Section 500.3113 - Person Not Entitled to Personal Protection Insurance Benefits.
Section 500.3116 - Value of Claim in Tort; Subtraction From or Reimbursement for Benefits.
Section 500.3121 - Liability for Accidental Damage to Tangible Property.
Section 500.3123 - Exclusions From Property Protection Insurance Benefits.
Section 500.3125 - Priorities in Claiming Property Protection Benefits.
Section 500.3131 - Residual Liability Insurance; Coverage.
Section 500.3141 - Notice of Accident.
Section 500.3143 - Assignment of Right to Future Benefits Void.
Section 500.3146 - Limitation of Action by Insurer for Recovery or Indemnity.
Section 500.3148 - Attorney's Fee; Restrictions.
Section 500.3151 - Submission to Mental or Physical Examination; Physician Requirements.
Section 500.3152 - Report of Mental or Physical Examination.
Section 500.3153 - Court Orders as to Noncompliance With MCL 500.3151 and 500.3152.
Section 500.3158 - Statement of Earnings; Report and Records From Medical Institution.
Section 500.3173 - Certain Persons Disqualified From Receiving Benefits Under Assigned Claims Plans.
Section 500.3176 - Taking Costs Into Account in Making and Regulating Rates.