HOUSE BILL No. 4995

 

June 28, 2007, Introduced by Rep. Virgil Smith and referred to the Committee on Insurance.

 

     A bill to amend 1956 PA 218, entitled

 

"The insurance code of 1956,"

 

(MCL 500.100 to 500.8302) by adding section 3136.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3136. If an injured person recovers damages under section

 

3135 for noneconomic loss or excess economic loss and is required

 

to pay all or a portion of that recovery to any person or entity

 

claiming a lien or right of reimbursement, subrogation, recoupment,

 

or offset against the recovery, the insurer responsible to pay

 

personal protection insurance benefits to the injured person shall

 

reimburse the injured person for the amount he or she is required

 

to pay the person or entity to the extent that the payment would

 

have been payable by the insurer if the person or entity had not

 

paid those amounts. This section applies to any case filed on or


 

after October 1, 1973.

 

     Enacting section 1. Section 3136 of the insurance code of

 

1956, 1956 PA 218, MCL 500.3136, as added by this amendatory act,

 

is curative and intended to correct the misinterpretation of law

 

and legislative intent that occurred in the Michigan court of

 

appeals decision in Dunn v DAIIE, 254 Mich App 256; 657 NW2d 153

 

(2002).