Bill Text: MI SB0787 | 2017-2018 | 99th Legislature | Engrossed

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Bill Title: Insurance; no-fault; personal protection insurance benefits; allow individuals who are over 65 to elect coverage limits. Amends secs. 3104 & 3107 of 1956 PA 218 (MCL 500.3104 & 500.3107) & adds sec. 3109b.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2018-06-07 - Referred To Committee On Insurance [SB0787 Detail]

Download: Michigan-2017-SB0787-Engrossed.html

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SB-0787, As Passed Senate, June 7, 2018

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

SENATE BILL NO. 787

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1956 PA 218, entitled

 

"The insurance code of 1956,"

 

by amending sections 3104, 3107, 3114, and 3115 (MCL 500.3104,

 

500.3107, 500.3114, and 500.3115), section 3104 as amended by 2002

 

PA 662, section 3107 as amended by 2012 PA 542, and section 3114 as

 

amended by 2016 PA 347, and by adding sections 1245 and 3109b.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1245. An insurance producer or an employee or agent of an

 

insurance producer is not liable for damages caused by the conduct

 

of the producer, employee, or agent related to obtaining or

 

providing information, or the choice of personal protection

 

insurance benefits by an insured, under section 3109b.

 

     Sec. 3104. (1) An The catastrophic claims association is

 

created as an unincorporated, nonprofit association. to be known as

 

the catastrophic claims association, hereinafter referred to as the

 

association, is created. Each insurer engaged in writing insurance

 

coverages that provide the security required by section 3101(1)

 

within this state, as a condition of its authority to transact

 

insurance in this state, shall be a member of the association and

 

shall be is bound by the plan of operation of the association. Each

 

An insurer engaged in writing insurance coverages that provide the

 

security required by section 3103(1) within in this state, as a

 

condition of its authority to transact insurance in this state,

 

shall be is considered to be a member of the association, but only

 

for purposes of premiums under subsection (7)(d). Except as

 

expressly provided in this section, the association is not subject

 

to any laws of this state with respect to insurers, but in all

 

other respects the association is subject to the laws of this state

 

to the extent that the association would be if it were an insurer

 

organized and subsisting under chapter 50.

 

     (2) The association shall provide and each member shall accept

 

indemnification for 100% of the amount of ultimate loss sustained

 

under personal protection insurance coverages in excess of the

 

following amounts in each loss occurrence:

 

     (a) For a motor vehicle accident policy issued or renewed

 

before July 1, 2002, $250,000.00.

 

     (b) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2002 to June 30, 2003, $300,000.00.

 

     (c) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2003 to June 30, 2004, $325,000.00.

 

     (d) For a motor vehicle accident policy issued or renewed

during the period July 1, 2004 to June 30, 2005, $350,000.00.

 

     (e) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2005 to June 30, 2006, $375,000.00.

 

     (f) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2006 to June 30, 2007, $400,000.00.

 

     (g) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2007 to June 30, 2008, $420,000.00.

 

     (h) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2008 to June 30, 2009, $440,000.00.

 

     (i) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2009 to June 30, 2010, $460,000.00.

 

     (j) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2010 to June 30, 2011, $480,000.00.

 

     (k) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2011 to June 30, 2013, $500,000.00.

 

     (l) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2013 to June 30, 2015, $530,000.00.

 

     (m) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2015 to June 30 2017, $545,000.00.

 

     (n) For a motor vehicle accident policy issued or renewed

 

during the period July 1, 2017 to June 30, 2019, $555,000.00.

 

Beginning July 1, 2013, 2019, this $500,000.00 $555,000.00 amount

 

shall must be increased biennially on July 1 of each odd-numbered

 

year, for policies issued or renewed before July 1 of the following

 

odd-numbered year, by the lesser of 6% or the consumer price index,

 

Consumer Price Index, and rounded to the nearest $5,000.00. This

 

The association shall calculate this biennial adjustment shall be

calculated by the association by January 1 of the year of its July

 

1 effective date.

 

     (3) An insurer may withdraw from the association only upon on

 

ceasing to write insurance that provides the security required by

 

section 3101(1) in this state.

 

     (4) An insurer whose membership in the association has been

 

terminated by withdrawal shall continue continues to be bound by

 

the plan of operation, and upon on withdrawal, all unpaid premiums

 

that have been charged to the withdrawing member are payable as of

 

the effective date of the withdrawal.

 

     (5) An unsatisfied net liability to the association of an

 

insolvent member shall must be assumed by and apportioned among the

 

remaining members of the association as provided in the plan of

 

operation. The association has all rights allowed by law on behalf

 

of the remaining members against the estate or funds of the

 

insolvent member for sums money due the association.

 

     (6) If a member has been merged or consolidated into another

 

insurer or another insurer has reinsured a member's entire business

 

that provides the security required by section 3101(1) in this

 

state, the member and successors in interest of the member remain

 

liable for the member's obligations.

 

     (7) The association shall do all of the following on behalf of

 

the members of the association:

 

     (a) Assume 100% of all liability as provided in subsection

 

(2).

 

     (b) Establish procedures by which members shall must promptly

 

report to the association each claim that, on the basis of the

injuries or damages sustained, may reasonably be anticipated to

 

involve the association if the member is ultimately held legally

 

liable for the injuries or damages. Solely for the purpose of

 

reporting claims, the member shall in all instances consider itself

 

legally liable for the injuries or damages. The member shall also

 

advise the association of subsequent developments likely to

 

materially affect the interest of the association in the claim.

 

     (c) Maintain relevant loss and expense data relative to all

 

liabilities of the association and require each member to furnish

 

statistics, in connection with liabilities of the association, at

 

the times and in the form and detail as may be required by the plan

 

of operation.

 

     (d) In a manner provided for in the plan of operation,

 

calculate and charge to members of the association a total premium

 

sufficient to cover the expected losses and expenses of the

 

association that the association will likely incur during the

 

period for which the premium is applicable. The total premium shall

 

must include an amount to cover incurred but not reported losses

 

for the period and may be adjusted for any excess or deficient

 

premiums from previous periods. Excesses or deficiencies from

 

previous periods may be fully adjusted in a single period or may be

 

adjusted over several periods in a manner provided for in the plan

 

of operation. Each member shall must be charged an amount equal to

 

that member's total written car years of insurance providing the

 

security required by section 3101(1) or 3103(1), or both, written

 

in this state during the period to which the premium applies, with

 

the total car years of insurance multiplied by the applicable

average premium per car. The average premium per car shall be is

 

the total premium calculated divided by the total written car years

 

of insurance providing the security required by section 3101(1) or

 

3103(1) written in this state of all members during the period to

 

which the premium applies. The premium charged to a member, the

 

total car years of insurance, and the applicable average premium

 

per car must be adjusted to provide for policies issued to which

 

the maximum limit under section 3109b(1)(a) applies. A member shall

 

must be charged a premium for a historic vehicle that is insured

 

with the member of 20% of the premium charged for a car insured

 

with the member. As used in this subdivision:

 

     (i) "Car" includes a motorcycle but does not include a

 

historic vehicle.

 

     (ii) "Historic vehicle" means a vehicle that is a registered

 

historic vehicle under section 803a or 803p of the Michigan vehicle

 

code, 1949 PA 300, MCL 257.803a and 257.803p.

 

     (e) Require and accept the payment of premiums from members of

 

the association as provided for in the plan of operation. The

 

association shall do either of the following:

 

     (i) Require payment of the premium in full within 45 days

 

after the premium charge.

 

     (ii) Require payment of the premiums to be made periodically

 

to cover the actual cash obligations of the association.

 

     (f) Receive and distribute all sums money required by the

 

operation of the association.

 

     (g) Establish procedures for reviewing claims procedures and

 

practices of members of the association. If the claims procedures

or practices of a member are considered inadequate to properly

 

service the liabilities of the association, the association may

 

undertake or may contract with another person, including another

 

member, to adjust or assist in the adjustment of claims for the

 

member on claims that create a potential liability to the

 

association and may charge the cost of the adjustment to the

 

member.

 

     (8) In addition to other powers granted to it by this section,

 

the association may do all of the following:

 

     (a) Sue and be sued in the name of the association. A judgment

 

against the association shall does not create any direct liability

 

against the individual members of the association. The association

 

may provide for the indemnification of its members, members of the

 

board of directors of the association, and officers, employees, and

 

other persons lawfully acting on behalf of the association.

 

     (b) Reinsure all or any portion of its potential liability

 

with reinsurers licensed to transact insurance in this state or

 

approved by the commissioner.director of the department.

 

     (c) Provide for appropriate housing, equipment, and personnel

 

as may be necessary to assure the efficient operation of the

 

association.

 

     (d) Pursuant to the plan of operation, adopt reasonable rules

 

for the administration of the association, enforce those rules, and

 

delegate authority, as the board considers necessary to assure the

 

proper administration and operation of the association consistent

 

with the plan of operation.

 

     (e) Contract for goods and services, including independent

claims management, actuarial, investment, and legal services, from

 

others within in or without outside of this state to assure the

 

efficient operation of the association.

 

     (f) Hear and determine complaints of a company or other

 

interested party concerning the operation of the association.

 

     (g) Perform other acts not specifically enumerated in this

 

section that are necessary or proper to accomplish the purposes of

 

the association and that are not inconsistent with this section or

 

the plan of operation.

 

     (9) A board of directors is created , hereinafter referred to

 

as the board, which shall be responsible for the operation of and

 

shall operate the association consistent with the plan of operation

 

and this section.

 

     (10) The plan of operation shall must provide for all of the

 

following:

 

     (a) The establishment of necessary facilities.

 

     (b) The management and operation of the association.

 

     (c) Procedures to be utilized in charging premiums, including

 

adjustments from excess or deficient premiums from prior periods.

 

     (d) Procedures governing the actual payment of premiums to the

 

association.

 

     (e) Reimbursement of each member of the board by the

 

association for actual and necessary expenses incurred on

 

association business.

 

     (f) The investment policy of the association.

 

     (g) Any other matters required by or necessary to effectively

 

implement this section.

     (11) Each The board shall must include members that would

 

contribute a total of not less than 40% of the total premium

 

calculated pursuant to subsection (7)(d). Each director shall be is

 

entitled to 1 vote. The initial term of office of a director shall

 

be is 2 years.

 

     (12) As part of the plan of operation, the board shall adopt

 

rules providing for the composition and term of successor boards to

 

the initial board and the terms of board members, consistent with

 

the membership composition requirements in subsections (11) and

 

(13). Terms of the directors shall must be staggered so that the

 

terms of all the directors do not expire at the same time and so

 

that a director does not serve a term of more than 4 years.

 

     (13) The board shall must consist of 5 directors , and the

 

commissioner director of the department, who shall be serve as an

 

ex officio member of the board without vote.

 

     (14) Each director The director of the department shall be

 

appointed by the commissioner and appoint the directors. A director

 

shall serve until that member's his or her successor is selected

 

and qualified. The board shall elect the chairperson of the board.

 

shall be elected by the board. A The director of the department

 

shall fill any vacancy on the board shall be filled by the

 

commissioner consistent with as provided in the plan of operation.

 

     (15) After the board is appointed, the The board shall meet as

 

often as the chairperson, the commissioner, director of the

 

department, or the plan of operation shall require, requires, or at

 

the request of any 3 members of the board. The chairperson shall

 

retain the right to may vote on all issues. Four members of the

board constitute a quorum.

 

     (16) An The board shall furnish to each member an annual

 

report of the operations of the association in a form and detail as

 

may be determined by the board. shall be furnished to each member.

 

     (17) Not more than 60 days after the initial organizational

 

meeting of the board, the board shall submit to the commissioner

 

for approval a proposed plan of operation consistent with the

 

objectives and provisions of this section, which shall provide for

 

the economical, fair, and nondiscriminatory administration of the

 

association and for the prompt and efficient provision of

 

indemnity. If a plan is not submitted within this 60-day period,

 

then the commissioner, after consultation with the board, shall

 

formulate and place into effect a plan consistent with this

 

section.

 

     (18) The plan of operation, unless approved sooner in writing,

 

shall be considered to meet the requirements of this section if it

 

is not disapproved by written order of the commissioner within 30

 

days after the date of its submission. Before disapproval of all or

 

any part of the proposed plan of operation, the commissioner shall

 

notify the board in what respect the plan of operation fails to

 

meet the requirements and objectives of this section. If the board

 

fails to submit a revised plan of operation that meets the

 

requirements and objectives of this section within the 30-day

 

period, the commissioner shall enter an order accordingly and shall

 

immediately formulate and place into effect a plan consistent with

 

the requirements and objectives of this section.

 

     (17) (19) The proposed plan of operation or Any amendments to

the plan of operation of the association are subject to majority

 

approval by the board, ratified ratification by a majority of the

 

membership having a vote, with voting rights being apportioned

 

according to the premiums charged in subsection (7)(d) and are

 

subject to approval by the commissioner.director of the department.

 

     (18) (20) Upon approval by the commissioner and ratification

 

by the members of the plan submitted, or upon the promulgation of a

 

plan by the commissioner, each An insurer authorized to write

 

insurance providing the security required by section 3101(1) in

 

this state, as provided in this section, is bound by and shall

 

formally subscribe to and participate in the plan approved of

 

operation as a condition of maintaining its authority to transact

 

insurance in this state.

 

     (19) (21) The association is subject to all the reporting,

 

loss reserve, and investment requirements of the commissioner

 

director of the department to the same extent as would a member are

 

the members of the association.

 

     (20) (22) Premiums charged members by the association shall

 

must be recognized in the rate-making procedures for insurance

 

rates in the same manner that expenses and premium taxes are

 

recognized. However, except for a charge reflecting a deficiency

 

from a previous period under subsection (7)(d), the rates must not

 

result in a charge for the association for a policy to which the

 

maximum limit under section 3109b(1)(a) applies.

 

     (21) (23) The commissioner director of the department or an

 

authorized representative of the commissioner director of the

 

department may visit the association at any time and examine any

and all of the association's affairs.

 

     (22) (24) The association does not have liability for losses

 

occurring before July 1, 1978.

 

     (23) The association does not have any liability for a loss to

 

which the maximum limit under section 3109b(1)(a) applies.

 

     (24) (25) As used in this section:

 

     (a) "Association" means the catastrophic claims association

 

created in subsection (1).

 

     (b) "Board" means the board of directors of the association

 

created in subsection (9).

 

     (c) (a) "Consumer price index" "Consumer Price Index" means

 

the percentage of change in the consumer price index Consumer Price

 

Index for all urban consumers in the United States city average for

 

all items for the 24 months prior to before October 1 of the year

 

prior to before the July 1 effective date of the biennial

 

adjustment under subsection (2)(k) (2)(n) as reported by the United

 

States department of labor, bureau of labor statistics, Department

 

of Labor, Bureau of Labor Statistics, and as certified by the

 

commissioner.director of the department.

 

     (d) (b) "Motor vehicle accident policy" means a policy

 

providing the coverages required under section 3101(1).

 

     (e) (c) "Ultimate loss" means the actual loss amounts that a

 

member is obligated to pay and that are paid or payable by the

 

member, and do not include claim expenses. An ultimate loss is

 

incurred by the association on the date that the loss occurs.

 

     Sec. 3107. (1) Except as otherwise provided in subsection (2),

 

this section, personal protection insurance benefits are payable

for the following:

 

     (a) Allowable expenses consisting of all reasonable charges

 

incurred, up to the maximum limit selected under section

 

3109b(1)(a), if applicable, for reasonably necessary products,

 

services, and accommodations for an injured person's care,

 

recovery, or rehabilitation. Allowable expenses within personal

 

protection insurance coverage shall not include Payment to

 

providers for those products, services, and accommodations are

 

subject to the limits in section 3107c. However, personal

 

protection insurance benefits are not payable for either of the

 

following:

 

     (i) Charges for a hospital room in excess of a reasonable and

 

customary charge for semiprivate accommodations except if unless

 

the injured person requires special or intensive care.

 

     (ii) Funeral and burial expenses in excess of the amount set

 

forth in the policy, which shall must not be less than $1,750.00 or

 

more than $5,000.00.

 

     (b) Work loss consisting of loss of income from work an

 

injured person would have performed during the first 3 years after

 

the date of the accident if he or she had not been injured. Work

 

loss does not include any loss after the date on which the injured

 

person dies. Because the benefits received from personal protection

 

insurance for loss of income are not taxable income, the benefits

 

payable for such loss of income shall must be reduced 15% unless

 

the claimant presents to the insurer in support of his or her claim

 

reasonable proof of a lower value of the income tax advantage in

 

his or her case, in which case the lower value shall apply. must be

applied. For the period beginning October 1, 2012 through September

 

30, 2013, the benefits payable for work loss sustained in a single

 

30-day period and the income earned by an injured person for work

 

during the same period together shall must not exceed $5,189.00,

 

which maximum shall apply must be applied pro rata to any lesser

 

period of work loss. Beginning October 1, 2013, the maximum shall

 

must be adjusted annually to reflect changes in the cost of living

 

under rules prescribed by the commissioner director but any change

 

in the maximum shall apply applies only to benefits arising out of

 

accidents occurring subsequent to an accident that occurs after the

 

date of change in the maximum.

 

     (c) Expenses not exceeding $20.00 per day, reasonably incurred

 

in obtaining ordinary and necessary services in lieu place of those

 

that, if he or she had not been injured, an injured person would

 

have performed during the first 3 years after the date of the

 

accident, not for income but for the benefit of himself or herself

 

or of his or her dependent.

 

     (2) Both of the following apply to personal protection

 

insurance benefits payable under subsection (1):

 

     (a) A person who is 60 years of age or older and in the event

 

of an accidental bodily injury would not be eligible to receive

 

work loss benefits under subsection (1)(b) may waive coverage for

 

work loss benefits by signing a waiver on a form provided by the

 

insurer. An insurer shall offer a reduced premium rate to a person

 

who waives coverage under this subsection subdivision for work loss

 

benefits. Waiver of coverage for work loss benefits applies only to

 

work loss benefits payable to the person or persons who have signed

the waiver form.

 

     (b) An insurer shall is not be required to provide coverage

 

for the medical use of marihuana or for expenses related to the

 

medical use of marihuana.

 

     Sec. 3109b. (1) After the effective date of this section, when

 

an individual who is 65 years of age or older applies for or renews

 

an insurance policy that provides benefits under this chapter, the

 

individual shall select 1 of the following levels of maximum

 

personal protection insurance benefits:

 

     (a) A $50,000.00 limit.

 

     (b) No maximum limit.

 

     (2) For insurance policies described in subsection (1), a

 

person who is 65 years of age or older shall complete a form,

 

approved by the director, to certify whether he or she is 65 years

 

of age or older. The form also must do all of the following:

 

     (a) Disclose in a conspicuous manner that a person who is 65

 

years of age or older has the option of purchasing personal

 

protection insurance coverage for allowable expenses as described

 

in section 3107(1)(a) with a reduced limit as provided in

 

subsection (1).

 

     (b) State, in a conspicuous manner, the benefits and risks

 

associated with each coverage option available to the person under

 

this section.

 

     (c) Provide a line for the person to sign, acknowledging that

 

he or she has read the form and understands the options available

 

to him or her.

 

     (d) Provide the person the option to elect personal protection

Senate Bill No. 787 as amended June 7, 2018

 

insurance benefits under subsection (1)(a) or (b).

 

     (3) If a person who is 65 years of age or older does not

 

complete a form under subsection (2) or does not make an election

 

under subsection (2)(d), the person is considered to have elected

 

benefits under subsection <<1(B).                                   

 

                                                           

 

                         >>

 

     (4) A maximum limit selected under subsection (1)(a) applies

 

to allowable expenses as described under section 3107(1)(a). A

 

maximum limit selected under subsection (1)(a) applies only to

 

benefits payable because of an accidental bodily injury to the

 

insured named in the policy and the insured's spouse. If the

 

maximum limit under subsection (1)(a) applies, an injured person

 

other than the insured and the insured's spouse is entitled to

 

claim benefits under another policy as provided in this chapter or,

 

if no such policy is available, under the assigned claims plan

 

maintained under section 3171.

 

     Sec. 3114. (1) Except as provided in subsections (2), (3), and

 

(5), and (6), a personal protection insurance policy described in

 

section 3101(1) applies to accidental bodily injury to the person

 

named in the policy, the person's spouse, and a relative of either

 

domiciled in the same household, if the injury arises from a motor

 

vehicle accident. A personal injury insurance policy described in

 

section 3103(2) applies to accidental bodily injury to the person

 

named in the policy, the person's spouse, and a relative of either

 

domiciled in the same household, if the injury arises from a

 

motorcycle accident. If personal protection insurance benefits or

personal injury benefits described in section 3103(2) are payable

 

to or for the benefit of an injured person under his or her own

 

policy and would also be payable under the policy of his or her

 

spouse, relative, or relative's spouse, the injured person's

 

insurer shall pay all of the benefits and is not entitled to

 

recoupment from the other insurer.

 

     (2) A person suffering accidental bodily injury while an

 

operator or a passenger of a motor vehicle operated in the business

 

of transporting passengers shall receive the personal protection

 

insurance benefits to which the person is entitled from the insurer

 

of the motor vehicle. This subsection does not apply to a passenger

 

in any of the following, unless the passenger is not entitled to

 

personal protection insurance benefits under any other policy:

 

     (a) A school bus, as defined by the department of education,

 

providing transportation not prohibited by law.

 

     (b) A bus operated by a common carrier of passengers certified

 

by the department of transportation.

 

     (c) A bus operating under a government sponsored

 

transportation program.

 

     (d) A bus operated by or providing service to a nonprofit

 

organization.

 

     (e) A taxicab insured as prescribed in section 3101 or 3102.

 

     (f) A bus operated by a canoe or other watercraft, bicycle, or

 

horse livery used only to transport passengers to or from a

 

destination point.

 

     (g) A transportation network company vehicle.

 

     (3) An employee, his or her spouse, or a relative of either

domiciled in the same household, who suffers accidental bodily

 

injury while an occupant of a motor vehicle owned or registered by

 

the employer, shall receive personal protection insurance benefits

 

to which the employee is entitled from the insurer of the furnished

 

vehicle.

 

     (4) Except as provided in subsections (1) to (2) and (3), a

 

person suffering who suffers accidental bodily injury arising from

 

a motor vehicle accident while an occupant of a motor vehicle who

 

is not covered under a personal protection insurance policy as

 

provided in subsection (1) shall claim personal protection

 

insurance benefits from insurers in the following order of

 

priority:

 

     (a) The insurer of the owner or registrant of the vehicle

 

occupied.

 

     (b) The insurer of the operator of the vehicle occupied.under

 

the assigned claims plan under sections 3171 to 3175.

 

     (5) A Except as provided in subsection (6), a person suffering

 

who suffers accidental bodily injury arising from a motor vehicle

 

accident that shows evidence of the involvement of a motor vehicle

 

while an operator or passenger of a motorcycle shall claim personal

 

protection insurance benefits from insurers in the following order

 

of priority:

 

     (a) The insurer of the owner or registrant of the motor

 

vehicle involved in the accident.

 

     (b) The insurer of the operator of the motor vehicle involved

 

in the accident.

 

     (c) The motor vehicle insurer of the operator of the

motorcycle involved in the accident.

 

     (d) The motor vehicle insurer of the owner or registrant of

 

the motorcycle involved in the accident.

 

     (6) For a personal protection insurance policy as to which the

 

insured has elected the maximum benefit level under section

 

3109b(1)(a), all of the following apply:

 

     (a) An injured person who is a relative of either the person

 

named in the policy or the person's spouse, who is domiciled in the

 

same household as the person named in the policy or the person's

 

spouse, and who would, but for the election of reduced benefits, be

 

entitled to claim benefits under the policy under subsection (1),

 

is not entitled to claim benefits under the policy, but is entitled

 

to claim benefits under the assigned claims plan maintained under

 

section 3171.

 

     (b) A person who, while an operator or passenger of a

 

motorcycle, suffers accidental bodily injury arising from a motor

 

vehicle accident that shows evidence of the involvement of a motor

 

vehicle insured under the policy is entitled to claim benefits as

 

provided under subsection (5)(c) or (d), if applicable, or under

 

the assigned claims plan maintained under section 3171.

 

     (7) (6) If 2 or more insurers are in the same order of

 

priority to provide personal protection insurance benefits under

 

subsection (5), an insurer paying that pays benefits due is

 

entitled to partial recoupment from the other insurers in the same

 

order of priority, and a reasonable amount of partial recoupment of

 

the expense of processing the claim, in order to accomplish

 

equitable distribution of the loss among all of the insurers.

     (8) (7) As used in this section:

 

     (a) "Personal vehicle", "prearranged ride", and

 

"transportation network company digital network", and

 

"transportation company prearranged ride" mean those terms as

 

defined in section 2 of the limousine, taxicab, and transportation

 

network company act, 2016 PA 345, MCL 257.2102.

 

     (b) "Transportation network company vehicle" means a personal

 

vehicle while the driver is logged on to the transportation network

 

company digital network or while the driver is engaged in a

 

transportation network company prearranged ride.

 

     Sec. 3115. (1) Except as provided in subsection (1) of section

 

3114, 3114(1), a person suffering who suffers accidental bodily

 

injury while not an occupant of a motor vehicle shall claim

 

personal protection insurance benefits from insurers in the

 

following order of priority:

 

     (a) Insurers of owners or registrants of motor vehicles

 

involved in the accident.

 

     (b) Insurers of operators of motor vehicles involved in the

 

accident.under the assigned claims plan under sections 3171 to

 

3175.

 

     (2) When If 2 or more insurers are in the same order of

 

priority to provide personal protection insurance benefits, an

 

insurer paying that pays benefits due is entitled to partial

 

recoupment from the other insurers in the same order of priority,

 

together with and a reasonable amount of partial recoupment of the

 

expense of processing the claim, in order to accomplish equitable

 

distribution of the loss among such the insurers.

     (3) A limit upon on the amount of personal protection

 

insurance benefits available because of accidental bodily injury to

 

1 person arising from 1 motor vehicle accident shall must be

 

determined without regard to the number of policies applicable to

 

the accident.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.

 

     Enacting section 2. This amendatory act does not take effect

 

unless Senate Bill No. 1014 of the 99th Legislature is enacted into

 

law.