Michigan No-Fault Law, section by section › MCL 500.3125
Priorities in claiming property protection benefits.
In plain terms
Property damage claims go first to the insurers of the owners or registrants of vehicles involved in the accident, then to the insurers of the operators.
How this section works in practice
Property protection benefits follow the vehicles involved rather than the injured owner's own policy. A person whose property is damaged claims first from the insurers of the owners or registrants of the vehicles involved in the accident, and then from the insurers of the operators. If a driver takes out a fence with a borrowed car, the car owner's PPI responds first, then the driver's. Because PPI pays without regard to fault, the property owner does not have to prove negligence; a claim letter to the vehicle owner's insurer with a repair estimate usually starts the process.
Text of MCL 500.3125
Sec. 3125.
A person suffering accidental property damage shall claim property protection insurance benefits from insurers in the following order of priority: insurers of owners or registrants of vehicles involved in the accident; and insurers of operators of vehicles involved in the accident.
History: Add. 1972, Act 294, Eff. Mar. 30, 1973
Source: MCL 500.3125 at legislature.mi.gov (official text). Text as published in the 2025 Michigan Compiled Laws; reviewed by Koussan Law on September 15, 2026.
Sections that refer to this one
- MCL 500.3121: Property Protection Insurance (PPI)
Practice pages
Important: This is not legal advice
This article is general information about Michigan personal injury law. It is not legal advice and should not be relied on as a substitute for consultation with a licensed Michigan attorney about your specific situation. The laws, deadlines, procedures, and frameworks here are general guidelines that may or may not apply to your case.
Every personal injury case turns on its own unique facts. The timing, the parties, the evidence, the jurisdiction, the insurance available, and dozens of other variables can change the legal analysis. Do not rely on anything written on this website to make decisions about your case.
If you have been injured in Michigan, the only responsible step is to speak with a licensed Michigan attorney about your specific facts. Call Koussan Law at (313) 800-0000 for a free consultation, or contact a different Michigan personal injury attorney of your choosing.
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