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House Insurance Committee hears industry plea to change PIP priority for limousine and private passenger carriers
Summary
Industry representatives told the House Insurance Committee that Michigans current order-of-priority for personal injury protection (PIP) puts limousine and certain private passenger carriers first, creating outsized medical exposures that have driven up premiums and pushed some Michigan operators out of the market; the committee heard testimony but took no vote.
LANSING — The House Insurance Committee on Thursday heard testimony on two bills, introduced by the committee chair and Representative Jason Morgan, that would change who pays personal injury protection (PIP) medical benefits when passengers are injured in limousines and similar private passenger carriers.
Industry operators told the committee the bills aim to place limousines and other private carriers on the same PIP priority level as taxis, transit and ride-hail services so injured passengers would first claim through their own auto or household insurance and then through the Michigan assigned claims mechanism. "Under Michigan's current no-fault structure, certain passenger transportation providers are placed at or near the front of the PIP order of priority," said Sean Duvall, an industry operator, explaining the proposed…
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