Let's Talk About It ~ The MCCA Charge

You see it on your automobile insurance policy every six months. Most of the time we get calls asking how to get rid of this “fee”. It’s the Michigan Catastrophic Claims Association fee. Yes, we’ve heard all of the questions, how to I get this fee off my policy? I don’t want to belong to the MCCA, can you remove the coverage. The answer is always no. It’s that simple, nope. Let me explain WHY you want this coverage and how important it is to not only you, but your friends, family, and others in your community.

The Michigan Catastrophic Claims Association is a private, non-profit unincorporated association created by the state Legislature in 1978. It is one of the most vital ways that people who have experienced catastrophic claims receive medical care and reimbursement. Personally knowing people who fall into this category, it is their lifeline to resuming life as normal after suffering an automobile accident. It might sound extreme, but it’s that important.

Under your automobile insurance policy, you have what is called personal injury protection (PIP) medical claims paid. Currently, that amount is $530,000. It’s pretty easy to explain, you sustain injuries as the result of an automobile accident; if your medical claims are less than the $530,000, then your insurance company pays for said claims. If you are in critical care and your hospital and physician bills are in excess of $530,000 that is where MCCA steps in. There is nothing you need to do though. The claim is submitted to your insurance company, and the company works with the state of Michigan so that the rest of the insurance and physician bills are paid for.

Yes, that situation may sound extreme, but that is not the end of the story. The majority of patients who leave the hospital following an automobile accident have injuries that will affect the remainder of their lives. For some it may be daily nursing care, for others it may be a prescription for ongoing seizures due to a head injury. But the point is, the coverage is there. If you don’t know anyone who has suffered from an automobile accident here are a few things that they would have to pay for if they had exceeded their $530,000 policy limit it weren’t for the Michigan Catastrophic Claims Association.

• Wheelchairs
• Prosthetics
• Follow-up doctor’s appointments
• Prescriptions
• Home health attendant
• Physical and occupational therapy

It’s hard to imagine a friend or family member needing those items, and not having any way to cover the expenses, especially when the automobile accident was no fault of their own. Check out the Michigan Catastrophic Claims Association consumer information for additional information and statistics.