In this highly misunderstood area of subrogation, recovery of medical payments is often overlooked. Whether your firm is a health care insurer or a Michigan No-Fault carrier, do NOT ignore this opportunity!

For example, in Michigan, No-Fault Insurers are the insurers of first priority for any medical payments arising out of injuries that stem from a motor vehicle accident. However, No-Fault insurers are required to offer deductions or exclusions for any policy that may be “coordinated” with an insured’s separate health insurance policy. See MCL 500.3109a. This “shifts” the responsibility of payment for any medical payments to the health insurer. This is an often overlooked area of recovery. However, a quick examination of the Declarations page and policy will help determine if a coordinated policy exists and provides an additional subrogation opportunity.

Conversely, if you are a health/medical care insurer, the statutory obligation of “shifting” the obligations can be put back on the No-Fault carrier if an individual’s health care policy excludes such medical benefit coordination. This simply means that a No-Fault carrier becomes the responsible party for bearing the costs of health care services rendered.