Detailed answer: How medical bills are handled after an accident in Michigan

If you are injured in a Michigan auto accident and cannot afford your medical bills, start with your own no-fault (Personal Injury Protection or PIP) coverage. Michigan’s no-fault system generally pays reasonable and necessary medical expenses related to the crash regardless of who caused it. See MCL 500.3105 for the basic PIP rule: your insurer pays no-fault benefits, including medical and attendant care, subject to the policy’s terms and any statutory limits (MCL 500.3105).

Key points about PIP and medical bills:

• PIP is the first source to cover reasonable and necessary medical treatment related to the crash.
• PIP coverage can be limited by the policy you or the vehicle owner selected at the time the policy was issued. That means your insurer’s benefits may stop once the limit is reached.
• If you have health insurance, it may pay bills first or coordinate with PIP; private insurers, Medicare, and Medicaid may seek reimbursement or assert liens against any recovery you obtain from a third party.

If PIP is not enough to cover all bills, you may have a claim against an at-fault driver. Under Michigan law, your ability to sue the at-fault driver for non-economic damages (like pain and suffering) depends on whether your injuries meet the statutory tort threshold. Michigan allows non-economic-loss lawsuits only when the injured person has death, a permanent and serious disfigurement, or a serious impairment of body function. See MCL 500.3135.

What that means practically:

• If your injuries meet the tort threshold, you can sue for past and future medical expenses, lost wages, replacement services, and non-economic losses (if applicable). A successful claim or settlement can pay outstanding medical bills.
• If your injuries do not meet the tort threshold, your recovery options against the at-fault driver are limited. You will still have PIP and possibly health insurance, but you typically cannot recover pain-and-suffering damages from the other driver.

Timing matters. Michigan’s general statute of limitations for personal injury claims is three years from the date of injury. That deadline can bar a lawsuit if you wait too long. See MCL 600.5805(2).

Other practical issues: liens and subrogation. If a health insurer, Medicaid, Medicare, or a provider paid your medical bills, they may seek reimbursement from any settlement or judgment you obtain. Federal rules (for Medicare) and contract law (for private insurers) can create repayment obligations or liens that reduce the money you keep from a settlement. Negotiating those claims is a common part of personal injury work.

Bottom line: If you can’t afford bills after an accident, start PIP claims immediately and use health insurance when needed. If your injuries are serious enough to meet Michigan’s tort threshold, a lawsuit against the at-fault party can help pay remaining and future medical costs; otherwise your options are more limited. Because of deadlines, coverage choices, and subrogation issues, consult a Michigan attorney early to protect your rights.

Helpful hints — steps to take right away

• Seek prompt medical care and keep all records and bills. Timely treatment helps both recovery and your claim.
• Notify your auto insurer immediately and file a PIP claim. Provide medical records and billing statements.
• Keep a detailed file: dates, providers, treatment notes, bills, lost-wage documentation, and photos of injuries/vehicle damage.
• Use health insurance if needed to avoid collections; track who pays what because they may have a right to reimbursement from any settlement.
• Ask whether your PIP coverage is limited or unlimited; limits affect how long benefits will be available.
• If bills exceed available benefits, consult a Michigan personal injury attorney promptly to evaluate whether you meet the tort threshold (MCL 500.3135) and whether you have a viable claim against an at-fault party.
• Watch the statute of limitations — Michigan generally gives three years to file most injury suits (see MCL 600.5805(2)).
• If Medicare or Medicaid paid your bills, notify them and learn about repayment obligations; federal rules may require repayment from a settlement.
• Be cautious about signing releases or settling quickly without understanding liens and future medical needs.

For a clear assessment of coverage limits, lien exposure, and whether you meet the legal threshold to sue, talk with a Michigan attorney experienced in auto-accident injury claims.