Michigan No-Fault Reform: What Changed and What It Means for Your Chiropractic Coverage
For decades, Michigan no-fault auto insurance provided unlimited lifetime medical benefits to accident victims — one of the most comprehensive coverage systems in the country. In 2019, the state legislature passed significant reforms that changed this, effective July 2020. Many Michigan drivers renewed their policies, selected a coverage option without fully understanding what they were choosing, and now have a different level of medical protection than they had before. Understanding what tier you have is one of the most important things you can do before you're ever in an accident.
Note: This post provides general information about the Michigan no-fault reform. Coverage specifics vary by policy and insurer. Consult your insurance agent or a Michigan no-fault attorney for guidance on your specific situation.
What the Reform Changed
Before 2020, all Michigan no-fault policies included unlimited PIP medical coverage. After the reform, policyholders can choose from several coverage tiers at renewal:
Unlimited PIP: Retains the original unlimited lifetime medical benefit coverage. Your insurer covers all reasonable and necessary medical expenses related to an accident injury with no dollar cap. This is the most comprehensive option and the most expensive in premium.
$500,000 PIP: Coverage up to $500,000 per person per accident for medical expenses. For most accident injuries requiring chiropractic, physical therapy, and rehabilitation, this is far more than sufficient. The risk is in catastrophic injury scenarios involving long-term care.
$250,000 PIP: Coverage up to $250,000. Adequate for most soft tissue and musculoskeletal injury recoveries. Still insufficient for severe brain injury or spinal cord injury requiring years of care.
$50,000 PIP: Available only to Medicaid recipients. Covers up to $50,000 in medical expenses per accident. This tier creates real risk of exhausting coverage in significant injury cases.
PIP opt-out: Available only to Medicare-eligible individuals. Medicare becomes the primary coverage for accident-related medical expenses. This creates specific limitations around what types of care Medicare covers and how claims are processed.
What This Means for Chiropractic Coverage
Chiropractic care, massage therapy, physical therapy, and spinal decompression remain covered under all PIP tiers — the reform changed the coverage amount, not the types of care that qualify. For the majority of accident injury cases treated at Chiropractic Works, even the $250,000 tier provides more than adequate coverage for the treatment required.
The tier becomes critical in catastrophic injury scenarios, or for patients with pre-existing conditions who may require longer and more complex treatment courses. If you're unsure which tier you selected, the answer is on your current declarations page or a phone call to your agent.
What to Do If You Don't Know Your Tier
Call your insurance agent and ask specifically: what is my PIP medical coverage limit? Get the answer in writing if possible. If you're due for a renewal, this is the moment to evaluate whether your current tier matches your actual risk tolerance and financial situation.
At Chiropractic Works, we work with all Michigan no-fault coverage tiers. We bill directly regardless of the tier, and we'll let you know clearly if your coverage situation affects anything about your treatment plan.
Questions about your Michigan no-fault coverage and what it covers at our clinic? Call 248-398-1650. We're in Oak Park on Coolidge Hwy and we handle the billing so you don't have to.
📍 21790 Coolidge Hwy, Oak Park, MI 48237
📞 (248) 398-1650
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