Introduced
by
To establish new procedures for billing and payments to health care providers for services paid under the unlimited personal injury protection coverage required by the state no fault insurance system, and paid by the Michigan Catastrophic Claims Association (MCCA) reinsurance entity. This refers to recent state Supreme Court decision (U.S. Fidelity Insurance v. MCCA and Hartford Insurance v. MCCA) asserting that there is no basis in current law to deny payments to a company started by a father solely to provide care to his son who became a paraplegic at age 17 in 1990. The father annually earns $500,000 from the company over and above the actual cost of care. The long term care deal was agreed to by the insurer, but is paid by the MCCA re-insurer, which sued claiming it was not a reasonable deal.
Referred to the Committee on Economic Development and Regulatory Reform
