In Historic First, Court of Appeals OKs Stacked Coverage for Motorcyclists

For the first time, the Court of Appeals allowed an injured motorcyclist—or a provider claiming payment for that motorcyclist’s medical care—to proceed to a lower-priority insurer once a higher-priority insurer’s policy was exhausted. Unlike car drivers, motorcyclists do not collect from their own insurers by default. Instead, when injured in an accident involving a motor vehicle, it is the insurer of the motor vehicle’s owner or registrant who takes top priority over the motorcyclist’s own insurer.

When the motorcyclist required more than $1 million in medical treatment, the Court of Appeals allowed the provider to recover from the motorcyclist’s own unlimited policy after exhausting the higher-priority Esurance policy. While such policy-stacking was prohibited prior to the 2019 no-fault reforms, the Court held that the Act’s anti-stacking provisions were eliminated by the Legislature and no longer accorded with the purpose of the No-Fault Act.