QuestionWe have PLPD through AAA for our 1971 Impala (not fully restored). My husband was in an accident on Saturday and the other driver was completely at fault. We live in Michigan. Our insurance company told me that all we could get was $500 in small claims against the other driver. They have full coverage. Their car was totaled and our car has about $4,750 worth of damage and cannot be driven. Can we sue the other guys insurance to get repairs, rental or anything?
Answer Hello Lisa,
Michigan's PLPD is a unique coverage. The state grounds its rules on Mini Torts. Accordingly, the law limits property damage liability to accident victims to a maximum $500 of their vehicle repair costs from an insured at fault driver.
While I cannot give you specific legal advice, it does appear that if the at fault driver was not insured, then that driver could be sued for the full amount of your vehicle damage.
From the information you have provided, however, it appears that the other driver was insured. In that case, you are indeed limited to a $500 recovery if that driver is found responsible for the accident. That being the case, in my opinion you would not be able to sue either the driver or his insurance company for your damages over $500.
For a formal legal opinion on that, you would need to consult with an attorney.
Good luck.
Jane Pytel
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