Everything you need to know about homeowners insurance, renters insurance, health insurance coordination, and how to ensure your medical bills get paid while protecting your legal claim
After a dog bite, one of the most pressing concerns is immediate and obvious: Who is going to pay these medical bills? Emergency room visits, surgery, medications, therapy—the costs add up quickly, often reaching tens of thousands of dollars. Understanding how insurance works after a dog bite in Michigan is critical to ensuring your bills get paid without jeopardizing your legal claim.
The insurance landscape for dog bites can be complex because multiple insurance policies may be involved: the dog owner’s homeowners or renters insurance, your own health insurance, medical payments coverage, and potentially other sources. Each policy has different rules, priorities, and limitations. Navigating this correctly ensures you get medical care now while preserving your right to full compensation later.
This comprehensive guide explains every insurance option available after a Michigan dog bite, who pays what, how to coordinate multiple policies, common mistakes that can destroy your claim, and strategies to ensure all your medical bills are covered while maximizing your final settlement. Whether you’re dealing with a minor bite or catastrophic injuries, understanding insurance is essential to protecting your financial and legal interests.
Primary Source: The Dog Owner’s Homeowners or Renters Insurance
In most Michigan dog bite cases, the dog owner’s homeowners or renters insurance policy is the primary source that pays your medical bills and other damages. Understanding how these policies work is fundamental to recovering compensation.
How Homeowners Insurance Covers Dog Bites
Nearly all homeowners insurance policies include personal liability coverage that covers injuries the insured causes to others, including injuries their dog causes. This coverage is
designed to protect homeowners from lawsuits arising from accidents on their property or caused by their activities—including their pets.
Typical coverage structure: Liability limits of $100,000 to $500,000 (most common is
$100,000-$300,000). Coverage includes medical expenses, lost wages, pain and suffering, and all other damages. Coverage applies regardless of where the bite occurred (not just on the insured’s property). The insurance company provides a defense attorney for the dog owner and pays settlements or judgments up to policy limits.
How Renters Insurance Covers Dog Bites
Renters insurance works similarly to homeowners insurance but typically has lower liability limits. Many renters policies include liability coverage of $25,000 to $100,000. Like homeowners policies, renters insurance covers injuries the insured’s dog causes to others. However, many renters either don’t carry renters insurance or their policies exclude dog bites (especially for certain breeds).
When the Owner’s Insurance Pays Directly
In most cases, the dog owner’s insurance doesn’t pay your medical bills as they occur. Instead, the insurance company waits until you settle your entire claim or receive a court judgment, then pays everything at once. However, there are exceptions where insurance may pay bills earlier, including medical payments coverage (discussed below) or structured settlements for severe injuries where some money is paid upfront.
Critical Insurance Exclusions to Know About
Not all homeowners and renters policies cover all dog bites. Common exclusions include specific breed exclusions (pit bulls, rottweilers, German shepherds, etc. may be excluded), prior bite exclusions (if the dog had bitten before, coverage may be excluded), business dog exclusions (guard dogs, breeding operations), and intentional act exclusions (if the owner deliberately used the dog as a weapon).
What this means for you: Even if the dog owner has homeowners or renters insurance, that policy may not cover your injuries if an exclusion applies. This is why investigating all potential insurance sources is critical.
Medical Payments Coverage: Quick Payment for Bills
Many homeowners and renters insurance policies include a little-known provision called ‘medical payments coverage’ or ‘med pay’ that can provide quick payment for medical bills without waiting for your entire case to settle.
What is Medical Payments Coverage?
Medical payments coverage is a small amount of coverage (typically $1,000 to $5,000) included in most homeowners and renters policies. It pays medical expenses for people injured on the insured’s property or by the insured’s activities—regardless of fault. The key advantage: it pays quickly, often within weeks of the injury, without requiring you to prove liability or settle your entire claim.
How to Access Med Pay
To access medical payments coverage after a dog bite, submit your medical bills to the dog owner’s insurance company with a request for payment under med pay coverage. The insurance company typically pays quickly because med pay doesn’t require proof of liability—it just requires proof you were injured and incurred medical expenses. You can receive med pay while still pursuing your full liability claim.
Important Limitations
Med pay amounts are small ($1,000-$5,000) and only cover actual medical expenses (not pain and suffering, lost wages, etc.). Any med pay you receive is typically deducted from your final settlement. Not all policies include med pay coverage. Some policies exclude dog bites from med pay even if liability coverage applies.
Strategic value: Even though med pay is small and gets deducted from your settlement, it can provide immediate cash flow to pay urgent medical bills while your case is pending. For minor injuries where total damages are under $10,000, med pay may cover a significant portion of your medical expenses quickly.
Your Own Health Insurance: Using It Without Hurting Your Claim
Many dog bite victims use their own health insurance to pay initial medical bills while pursuing a claim against the dog owner’s insurance. This is often necessary and appropriate, but you must understand the implications.
Why Use Your Health Insurance?
- The dog owner’s insurance won’t pay medical bills until your case settles (which could take months or years)
- You need immediate medical care and can’t wait for a settlement
- The dog owner may not have insurance, leaving you no other option for payment
- Medical providers won’t wait for a settlement to be paid
- Using health insurance ensures you get necessary treatment now
The Subrogation Issue
Here’s the critical issue you must understand: most health insurance policies include ‘subrogation’ or ‘reimbursement’ clauses. This means if your health insurance pays your dog bite medical bills, and you later recover money from the dog owner’s insurance, your health insurance company has the right to be reimbursed from your settlement.
How subrogation works: Your health insurance pays $30,000 in medical bills after a dog bite. You settle with the dog owner’s insurance for $75,000. Your health insurance company demands repayment of the $30,000 they paid. You must reimburse them, leaving you with
$45,000 (before attorney fees).
Negotiating Subrogation Liens
The good news: health insurance subrogation liens are often negotiable. Experienced attorneys routinely negotiate reductions of 30-60% or more on subrogation claims. Health insurance companies know that if they insist on full repayment, victims may fight and the insurance company may end up with nothing. Many are willing to compromise.
Negotiation strategies: Point out that the insurance company didn’t incur the costs of pursuing the claim (you and your attorney did all the work). Argue that the ‘made whole’ doctrine means you should be fully compensated before the insurance company recovers anything. Offer a percentage reduction that still gives the insurance company significant recovery. Note that going to court over the lien would cost the insurance company money.
Medicare and Medicaid: Special Rules
Medicare and Medicaid have stronger subrogation rights than private insurance and are harder to negotiate with. Federal law requires Medicare repayment in most cases, and discounts are rare. Medicaid (Michigan’s Medicaid is called ‘Healthy Michigan Plan’) also has strong subrogation rights under Michigan law. Estate recovery rules mean Medicaid may pursue repayment even years later.
Critical for Medicare/Medicaid recipients: You must report your dog bite settlement to Medicare/Medicaid. Failing to repay Medicare can result in loss of benefits and federal penalties. An attorney experienced with Medicare/Medicaid liens is essential if you use these programs.
What If the Dog Owner Has No Insurance?
Unfortunately, many dog owners—especially tenants—don’t have homeowners or renters insurance. When the responsible party has no insurance, your options for getting medical bills paid are more limited.
Option 1: Pursue the Owner’s Personal Assets
You can sue the dog owner personally and obtain a judgment for your damages. If the owner has assets (bank accounts, wages, property), you can attempt to collect through garnishment, liens, or asset seizure. However, most people without insurance also lack significant assets, making collection difficult. Michigan’s homestead exemption protects a person’s primary residence from seizure in many cases. Wage garnishment is limited by law and provides only slow recovery.
Option 2: Landlord Liability
If the dog owner is a tenant, you may be able to pursue the landlord under a negligence theory if the landlord knew the dog was dangerous and failed to require its removal. Landlords typically have commercial property insurance that covers premises liability. This provides access to insurance coverage even when the dog owner has none. Landlord liability requires proving knowledge and negligence (higher burden than strict liability against the owner).
Option 3: Your Own Health Insurance
When the responsible party has no insurance or assets, your own health insurance becomes your best option for getting medical bills paid. You’ll still have a valid legal claim against the dog owner, but collecting on that claim may be impractical. Your health insurance ensures you get medical treatment even if you can’t collect from the owner.
Option 4: Victim Compensation Funds
Michigan operates a Crime Victim Services Commission that provides compensation in certain cases. However, dog bites generally don’t qualify unless the attack was part of a crime (like assault with a dangerous animal) or involved criminal negligence. This is rarely available for typical dog bite cases.
Critical Mistakes That Can Destroy Your Right to Compensation
How you handle medical bills and insurance can make or break your dog bite claim. Avoid these common mistakes that jeopardize your rights.
Mistake #1: Signing a Release for Med Pay
Insurance companies sometimes offer quick med pay payment in exchange for signing a release. READ CAREFULLY. Some releases discharge your entire claim, not just the med pay portion. Never sign a general release for a small med pay payment. Only sign a limited release that specifically preserves your right to pursue your full liability claim.
Mistake #2: Giving Recorded Statements to Insurance
The dog owner’s insurance company may call and ask for a recorded statement about the incident. They claim it’s routine. DON’T DO IT. Recorded statements are used to find inconsistencies, establish provocation, or get you to minimize injuries. You have no legal obligation to give a recorded statement to the other party’s insurance. Politely decline and refer them to your attorney.
Mistake #3: Delaying Medical Treatment
Some victims delay treatment because they’re worried about who will pay. This is a huge mistake. Delayed treatment worsens injuries, creates infections, allows scarring to set improperly, and gives insurance companies ammunition to claim injuries weren’t serious. Get treatment immediately and sort out payment later. Emergency rooms must treat you regardless of ability to pay.
Mistake #4: Not Reporting to Your Health Insurance
Some victims don’t report dog bites to their health insurance because they plan to recover from the dog owner’s insurance. Then when the owner has no insurance, they’re stuck with bills they can’t pay. Always report to your health insurance and get treatment covered while pursuing the owner’s insurance.
Mistake #5: Settling Without Resolving Liens
You settle your case for $50,000, then discover your health insurance has a $30,000 subrogation lien you forgot about. Now you have to pay that from your settlement. Always identify and negotiate all liens before settling. Get written lien reduction agreements before finalizing settlement.
Mistake #6: Not Investigating All Insurance Sources
You assume the dog owner has no insurance and give up. Later you discover the owner’s parents (who they live with) have homeowners insurance that covered the bite, or the landlord has insurance. Thorough investigation of all potential insurance is essential.
Strategic Approach: Coordinating Multiple Insurance Sources
In many dog bite cases, multiple insurance policies may be involved. Coordinating them correctly maximizes your recovery while ensuring all bills get paid.
The Ideal Insurance Strategy
- Step 1: Immediately use your health insurance to ensure you get necessary medical treatment without delay.
- Step 2: Request med pay from the dog owner’s insurance if available. This provides quick cash for bills.
- Step 3: Keep detailed records of all medical treatment, bills, and out-of-pocket expenses.
- Step 4: Identify all insurance sources including owner’s homeowners/renters, landlord’s commercial insurance, umbrella policies, and any other potential coverage.
- Step 5: Complete medical treatment before settling to ensure you know the full extent of injuries and costs.
- Step 6: Negotiate health insurance liens for maximum reduction before settling.
- Step 7: Pursue the dog owner’s liability insurance for full compensation including all damages (not just medical bills).
- Step 8: Coordinate settlement and lien payoffs to ensure everyone is paid correctly from the settlement funds.
Why this strategy works: Your health insurance ensures you get treatment now. Med pay provides some quick reimbursement. Completing treatment ensures you know all damages before settling. Negotiating liens reduces what you owe back. Pursuing full liability claim recovers all damages, not just medical bills.
Understanding Michigan’s Coordination of Benefits Rules
When multiple insurance policies might cover the same injury, Michigan law has rules about which policy pays first (primary) and which pays second (secondary). Understanding these rules prevents confusion and ensures proper payment.
Priority of Coverage
Generally, the liable party’s insurance (dog owner’s homeowners/renters) is primary and ultimately responsible for all damages. Your health insurance is secondary but pays first in practice because the liable party’s insurance waits until settlement. Your health insurance has subrogation rights to be reimbursed from the settlement. Med pay from the liable party’s insurance is available immediately but is deducted from final settlement.
Practical Application
Here’s how it typically works in practice: Day 1 after bite: You use your health insurance for emergency room treatment. Week 1: You request med pay from dog owner’s insurance ($5,000 available). They pay it quickly. Months 1-6: You continue treatment, health insurance continues paying, building up a $25,000 subrogation lien. Month 8: You finish treatment and settle with dog owner’s insurance for $100,000. Settlement allocation: $100,000 total settlement, minus $5,000 med pay already received = $95,000 remaining, minus negotiated health insurance lien of $15,000 (reduced from $25,000) = $80,000, minus attorney fees (typically 33-40%) = your net recovery.
Special Situations: Workers Compensation and Dog Bites
If you were bitten by a dog while working (mail carrier, delivery driver, utility worker, etc.), workers compensation may be involved. This creates unique issues.
Workers Compensation Coverage
If you’re injured on the job in Michigan, workers compensation insurance typically pays your medical bills and provides wage loss benefits regardless of fault. Workers comp pays medical bills quickly without waiting for settlements. It provides partial wage replacement (typically about 80% of take-home pay). However, you cannot sue your employer—workers comp is your exclusive remedy against your employer.
Third-Party Claims
Good news: even if workers comp covers your medical bills, you can still sue the dog owner under Michigan’s strict liability statute because the dog owner is a ‘third party’ (not your employer). This means you can receive workers comp benefits AND pursue a claim against the dog owner. However, workers comp has a lien on any recovery you get from the dog owner, similar to health insurance subrogation.
Coordination: Workers comp pays medical bills immediately. You pursue dog owner’s insurance for full damages. You settle with dog owner’s insurance. You reimburse workers comp for what they paid (though this may be negotiable). You keep the remainder, which compensates for pain and suffering not covered by workers comp.
Protecting Your Rights While Getting Bills Paid
Navigating insurance after a Michigan dog bite requires understanding multiple overlapping policies, knowing your rights, avoiding common pitfalls, and coordinating everything strategically to maximize recovery. The key principles to remember:
- Get medical treatment immediately—use your health insurance if needed to ensure care
- The dog owner’s homeowners/renters insurance is ultimately responsible but won’t pay until settlement
- Med pay can provide quick payment for some bills
- Health insurance subrogation liens are usually negotiable—don’t accept them at face value
- Never sign releases or give recorded statements without legal advice
- Investigate all potential insurance sources including landlords and umbrella policies
- Complete all medical treatment before settling your claim
- Coordinate settlement and lien payoffs carefully to protect your net recovery
The value of experienced representation: Insurance coordination in dog bite cases is complex. An experienced Michigan dog bite attorney knows how to navigate multiple insurance companies, negotiate subrogation liens, identify all coverage sources, and ensure you receive maximum compensation while getting your medical bills paid. Don’t try to handle this alone—one mistake can cost you thousands of dollars.
Your right to full compensation under Michigan’s strict liability statute is powerful, but it doesn’t mean much if you can’t get your medical bills paid in the meantime. Understanding how insurance works, using all available resources strategically, and protecting your rights throughout the process ensures you get the care you need and the compensation you deserve.