Agnone v. Home-Owners Insurance Company
310 Mich. App. 522
Mich. Ct. App.2015Background
- Agnone sustained a motor-vehicle accident in December 2009; he sought no-fault PIP benefits from Home-Owners Insurance.
- Pre-accident, Agnone earned $183,000–$200,000 annual gross income (average ≈$196,000).
- Post-accident, his income rose in 2010 due to pre-existing work, then declined to about $140,000 (2011) and $135,000 (2012).
- In January 2012 Agnone sued for work-loss benefits; he claimed the difference between pre- and post-accident income, within a 30-day period, up to the statutory maximum, should be paid.
- Home-Owners moved for partial summary disposition, arguing Agnone earned more than the statutory max ($4,878/month) in every 30-day period; the court denied; the issue on appeal is statutory interpretation of the limit.
- The court ultimately held the 30-day capplus-post-accident income rule requires reducing the work-loss benefit so that combined amount does not exceed the maximum, resulting in no work-loss benefit for Agnone since his post-accident income exceeded the cap.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Proper construction of MCL 500.3107(1)(b) | Agnone: cap applies to wage loss (pre- vs post-accident) per 30 days, not to total. | Home-Owners: cap applies to sum of work loss and post-accident income per 30 days. | The cap applies to the combined total; no work-loss benefit if post-accident income already exceeds max. |
Key Cases Cited
- Snellenberger v Celina Mut Ins Co, 167 Mich App 83; 421 NW2d 579 (1988) (cap applies to sum of benefits and post-accident income, not to differential alone)
- Marquis v Hartford Accident & Indemnity (After Remand), 444 Mich 638; 513 NW2d 799 (1994) (limits on work-loss benefits; injured workers should mitigate losses; cap applies to total per period)
- Bak v Citizens Insurance Co of America, 199 Mich App 730; 503 NW2d 94 (1993) (work-loss benefits are subject to a monthly cap and reductions when income earned exceeds the cap)
- Ouellette v Kenealy, 424 Mich 83; 378 NW2d 470 (1985) (no-fault limits and application to damages; related reasoning on caps)