The Worst Michigan Motorcycle Law has been Fixed [kind of]

A few years ago, the no fault law changed and it caused many Michigan motorcyclists to be stuck with hundreds of thousands of dollars in medical bills. A recent Michigan Court of Appeals decision may have fixed this.

Some Background

The Michigan no fault law provides for payment of medical bills for treatment for “Motor Vehicle” related injuries. For decades Michigan victims of Motor Vehicle accidents received UNLIMITED medical coverage, meaning all medical treatment would be paid for for life.

The definition of “Motor Vehicle” essentially means car, truck or van; it does not include motorcycles. Therefore, Michigan motorcyclists are only entitled to medical bill payment only when a “Motor Vehicle” is involved in their crash.

Which Insurance Company is Responsible for the Medical Bills?

There is what is called the order of priorities in the no fault law. It essentially gives the list of which person’s insurance company pays a victim’s medical bills after a motor vehicle accident. You start with the person (his insurance company) first on the list, if he has insurance that company pays the medical bills, if he does not have insurance you just go to the next person’s insurance company on that list until someone has an insurance policy.

People are often uninsured. If it was a hit-and-run accident, a person on the list is unknown. If this is the case, again you just go to the next person on the list.

The order of priorities for a motorcyclist actually is more complicated than what I list below. Essentially, for brevity and easier understanding, it’s:

1. Motor Vehicle involved;
2. Motorcyclist’s car, truck or van;
3. Resident relative’s car, truck or van;
4. State of Michigan’s Assigned Claims.

For the actual order of priorities for motorcyclists, go to the statute which is: MCL 500.3114(5).

Unlimited PIP Medical was the Law for 50 Years

For decades, it did not matter which company paid a motorcyclist’s benefits because the medical coverage was all the same–unlimited.

But in 2020, the law changed to PIP Medical Choice. Now people choose the amount of PIP Medical on their cars, trucks and vans and this created the worst law for motorcyclists in Michigan history.

Affect of PIP Medical Choice Law

Because motorcyclists must first turn to the at-fault driver’s auto insurance for payment of their medical bills, they are at the mercy of what the car driver chose for his own PIP Medical coverage! If the car driver chose $50,000, that is all the motorcyclist was entitled to. Many motorcyclists were stuck with hundreds of thousands of dollars in medical bills. Some had to file bankruptcy.

New Fix in Michigan Court of Appeals Decision

On March 2, 2026, the Michigan Court of Appeals decided the case of, Mary Free Bed Rehabilitation Hospital v. Esurance Property and Casualty Insurance Company, Court of Appeals No. 370846 (Mich App, March 2, 2026). It is a published opinion which means it is the law.

The Mary Free Bed case created the following law:

Under certain circumstances, a Michigan motorcyclist can now stack insurance policies for more PIP Medical coverage. If the insurance company responsible to pay the medical bills has coverage less than Unlimited, the biker can use all that coverage to pay the medical expenses and then go to the next company in line on the priority list if the coverage is greater than the first.

An example will make it clearer.

Example: A motorcyclist is catastrophically injured and has $1,000,000 of medical bills. The motor vehicle involved has $250,000 of PIP Medical and the motorcyclist has Unlimited PIP Medical on his car. The insurance on the car that hit him pays the first $250,000 and the rest is paid by the biker’s car insurance.

Action Item; The Take-Away

MY ADVICE: Every Michigan motorcyclist should choose UNLIMITED PIP MEDICAL on their cars, trucks and vans. This will ensure they have unlimited medical coverage for a motorcycle wreck that involves a motor vehicle even when the car that hit them has a lesser policy amount.

You must act to protect yourself. Call your agent now.

The full Opinion for the Court of Appeals case is below. There are many details and intricacies. I will be writing deeper articles in the near future, so check back.

Written by
Attorney Jason Waechter
THE Motorcycle Lawyer©