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Bill To Amend Michigan No-Fault Law Could Substantially Decrease Revenue To Healthcare Industry

On Thursday, April 24, 2015, the Michigan House of Representatives’ Insurance Committee passed a bill to reform Michigan’s No-Fault law and sent it to the House floor for a vote. The bill (SB 248) will have significant negative changes for No-Fault reimbursements for health care providers in Michigan.

As currently proposed, the bill will cap reimbursements for accident victims at 150% of the amount that would be paid for the same services by Medicare. Additionally, it would create a fraud authority to investigate alleged fraudulent activities relative to No-Fault claims.

Now that the bill has been passed out of the House Insurance Committee, it could be up for passage by the House of Representatives during the week of April 27. If passed, it would be sent back to the Senate relative to the amendment currently proposed by the House. The bill, as currently proposed, will have a devastating financial impact on many healthcare providers and suppliers. The HLP will provide updates as to this bill’s progress and the impacts to healthcare providers and suppliers in Michigan.

For more information, please contact Adrienne Dresevic, Esq. adresevic@thelp.com or Carey Kalmowitz, Esq., ckalmowitz@thehlp.com or (248) 996-8510.

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