For Medicare Members: What should I know about Michigan’s no-fault auto insurance law?

Who is this for?

What are my rights as a Medicare customer?

This is for Blue Cross Blue Shield of Michigan Medicare members who want to learn about Michigan’s new no-fault auto insurance law that goes into effect on July 1, 2020.

If you’ve recently had an accident and need the form to coordinate your auto and medical insurance, you can find it on our subrogation page.

What are the no-fault auto law changes and how do they affect me?

Michigan’s no-fault auto insurance law means that Michigan residents are no longer required to buy unlimited personal injury protection, or PIP, with their auto insurance.  

You’ll have the option of selecting from different levels of personal injury protection coverage. What you choose is important because PIP can cover services that Medicare or Medicare Advantage coverage may not – including things like transportation to and from medical appointments, vehicle modifications, long-term and custodial care, and household services.

Note: Because the no-fault auto insurance law is not a health insurance law, you should discuss auto or PIP coverage with your auto insurer.  

What type of information could my auto insurer request?

Your auto insurance company may request a letter as proof that you meet the requirements for qualified health coverage or QHC. They may also ask for a coordination of benefits, or COB, letter that shows how your health insurance and auto insurance work together to pay auto accident claims. 

How can I get a QHC letter?

There are several ways you can request a QHC letter.

  • You can log in to your online member account to see if you have a QHC letter to download. Once logged in, navigate to the QHC letter in the Proof of Insurance section at the bottom of the page.
  • You can call the number on the back of your member ID card.
  • If you don't see a QHC letter online or are unable to get one through calling the number on the back of your card, you can reach out to your employer to request the letter.

Who pays first in the event of an auto accident?

If a Medicare enrollee is injured in an accident and opts out of PIP coverage or exhausts their PIP limits, Medicare will pay for Medicare-covered services if the member has no other coverage. Medicare Advantage plans will pay auto accident claims for those enrollees under those same circumstances.

What if I have an accident outside of Michigan?

If you’re involved in an auto accident outside of Michigan, your Blue Cross coverage remains unchanged. Claims process according to your benefits and the laws in effect in state of residence. If you’re injured by a driver in an at-fault state, reimbursement is pursued from the at-fault driver’s auto insurer. 

Where can I get more information?

Your auto insurer can answer questions about how the changes to the no-fault auto law affect your auto coverage.

The Department of Insurance and Financial Services (DIFS) can also help answer your questions.


Phone: 1-833-ASK-DIFS (275-3437)