Many people paying for insurance wonder what the Michigan Catastrophic Claims Association (MCCA) fee is and why they have to pay it every year. Some policies call it Statutory Assessment, MAIPF, MATPA or Programs Required by State Laws.

The MCCA was established as an amendment to the no-fault law in 1978, to accommodate the State’s desire to provide unlimited Personal Injury Protection (PIP) for auto-related accidents. The MCCA currently reimburses insurance companies for medical expenses in excess of $460,000.00.

Michiganders might pay more for the MCCA, but it allows everyone in the state to have unlimited Personal Injury Protection (PIP)in the event of an auto or motorcycle accident.

In 1978, when the MCCA was first established, the cost of each vehicle per year was $3.00.In 2009, each vehicle cost $124.89 as a result of the MCCA fee. If you are interested in what the cost for the MCCA has been each year, click here.

Some companies neglect to include the MCCA cost in their proposal, meaning you could be unaware of the additional cost in your policy. You could end up paying hundreds more per year because your agent did not include the MCCA in the overall insurance cost estimate.

If you have any questions, please contact me or call me directly at 616-723-8025.

The information provided here relates to general situations and questions concerning specific risks and may not apply to all situations or individual circumstances. Traverse City Insurance does not issue insurance contracts or bind coverage. We do not endorse or recommend any companies or insurance policies, and we do not provide insurance, tax or financial advice. For more information on the MCCA visit: