The bill amends the Michigan Insurance Code of 1956, specifically section 3109, to clarify and update the language regarding personal protection insurance benefits. It stipulates that benefits provided under state or federal laws must be subtracted from the personal protection insurance benefits payable for injuries. Additionally, the definition of an injured person is refined to specify that they are a natural person who suffers accidental bodily injury.

Furthermore, the bill allows insurers to offer deductibles for personal protection insurance benefits at reduced premium rates, with the requirement that these deductibles apply only to benefits payable to the insured, their spouse, and any relatives living in the same household. It mandates that for certain insurance policies, deductibles must be offered in increments of $1,000, up to the average amount paid in benefits for motor vehicle accidents in the previous year, ensuring that these deductibles lead to appropriately reduced premiums.

Statutes affected:
House Introduced Bill: 500.3109