There’s a new settlement affecting all families in Michigan.
The settlement stems from a May, 2021 crash that killed a husband and wife, Marilyn and Larimore McDougall. MemberSelect Insurance of Dearborn denied the McDougall’s estate $250,000 dollars in liability coverage, dropping it to $50,000, because the husband was at fault in the crash. However, the Michigan Court of Appeals ruled the estate is entitled the full $250,000 dollars, and the insurance company settled for that amount.
Southfield attorney Lawrence Kajy plans to call on Lansing to ban household exclusions in insurance policies.
“You still see these clauses in almost every single insurance contract,” Kajy said. “So it would be great to ban these outright in Michigan and never allow it to happen.”
Kajy calls this a landmark case in Michigan.
