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January 18, 1972 - Image 10

Resource type:
Text
Publication:
The Michigan Daily, 1972-01-18

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Page Ten

THE MICHIGAN DAILY

Tuesday, January 18, 1972

PROPOSAL FOR STATE
Milliken seeks no-fault insurance plan

TusdyrJauay! 8 17

(Continued from Page 1) The governor's proposal wou
at fault he can legally receive no also eliminate court cases invol
compensation. ing suits for damage to autom
Under a no-fault plan a car biles, unless the car was park
owner buys insurance for himself or the accident was caused inte
and if injured, is paid by his own tionally.
insurance company. Milliken's package would a
Milliken's no-fault plan would eliminate bodily injury law su:
require every auto liability policy in auto negligence cases to t
to provide prompt payment for extent covered by no-fault ben
medical and rehabilitation costs, fits or $5,000, whichever is grea
and lost wages without regard to er.
who was at fault in an accident. Under the governor's plan n
The governor proposes that no fault insurance would be requir
limits be placed on payment for as a condition of registration f
medical and rehabilitation costs, private passenger cars.
and that wages be compensated at However, under the governo
85 per cent of lost wages up to proposal .an individual could st
$1,000 a month for three years. be held liable if he negligent
Quick payment would be encour- causes death or permanent di
aged by charging insurance com- ability or disfigurement, or if t
panies one per cent per month in- accident results in medical e
terest on claim payment delayed penses exceeding $5,000.
more than 30 days. Also, those intentionally inju
MLB wallows in flood water
(Continued from Page 1) And so yesterday at the Unive
from his second floor classroom sity's newest classroom buildi
to escape the water. "I could hear ended much as it had begun f
the water running and I looked all but the early birds who h
behind me and there it was, fol- witnessed the initial downpo
lowing me down the stairs," he Water trickled from the ceilin
said. "I stopped to watch it and students glided to class, and ever:
it began cascading down the whole one smirked at the murky ev
width of the stairs!" dence of yet another failure(
"The oddest thing," said a stu- modern technology.
dent en route to a 0 a.m. class TryD il IQ~fid
was to walk intand seenthe water Daily Classi rled
like rapids gushing down the - - --
stairs" Later in the morning, rugs
were placed on the stairways to
divert the water outdoors but,
nevertheless, flooding continued
and throughout the day the cor-
ridors were treacherously slippery.
In addition to the basic coating
which seemed everywhere, some
spots were ankle-high in the
murky floodwaters. "I had to wade
up to our room," complained De
French 362 student Karen Laako,
"13.
To alleviate the necessity to
wade through the MLB a crew
patrolled some corridors laterin
the morning and vacuumed the
water away.
Yet late in the afternoon the
floors were still slippery. "I could
have broken my neck," said Da-
vid Margolick, '74, on his way to
the literary college faculty meet-'
ing.
Flooding was not the only by-
product of the frozen sprinklers,
however. One junior reported that
"the electricity went haywire" in
her Asian Music class. "The
strangest think was when the
blackboard started sparkling,"
she 'commented.
In addition, there was a slight
electrical fire, reported Bland
Leverette an administrative' asso-
ciate in the literary college. Lev-
erette said hewas "notfamiliar
with the extent of the damage,"
and he did not think there were
any significant interruptions.
In the Plant Department, Dick
Wedge, supervisor of operations
and maintenance estimated that
there was "not too much damage",
other than "some ceiling trouble."
According to the Scheduling Of-
fice account of flood results, class
rescheduling had been anticipated
but "any rescheduling that did oc-
cur was informally arranged."
Departmental sources within the
MLB were not clear on the flood's
effects on class attendance and
meetings.

uld
v-
zo-
ed
,n-
lso
its
he
e-
ed
or,
Lr's
till
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[is-
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ing themselves, using a stolen car
or avoiding arrest would be ex-
cluded from coverage, although
survivors of those killed in such
cases would be protected.
Milliken's plan also retains the
existing legal system for deter-
mining liability for commercial
vehicles, motorcycles, damage to
property other than moving cars,
and income loss in excess of the
amount provided on no-fault basis.
Legislative committees in both
the State Senate and House are
presently studying several no-
fault automobile insurance bills.
Four modif.ied no-fault bills in
the House, co-sponsored by Rep.
James Heinze (R-Battle Creek)
and Rep. Matthew McNeely (D-
Detroit). would provide medical
and hospital no-fault payment up

fees incurred in liability suits.
However, Rowe said that th
cost of collision coverage may in
crease.
Although some insurance com-
panies support no-fault insuranc
plans, other argue that the pres
ent system is not designed to wor
as a compensative arrangemen
They argue that assigning faul
is necessary to deter carelessnes
and prevent people from ignorin
their responsibility on the road.
No-fault programs have als
drawn criticism from lawyer
groups, who charge that no-faul
reforms will not help unclog th
courts.
However, proponents of no
fault insurance programs clai.
that many lawyers are opposed t
the programs because they ear
much of their living by represent
ing claimants in auto liabilit
suits.
The Senate commerce commit
tee is also presently considering8
no-fault bill. Although the Nixor
administratiorl has endorsed th
do-fault insurance idea, it say
states should enact reforms in
dividually.

to $2,000, as compared to Milli-
r- ken's proposed unlimited coverage.
These bills are favored by most
insurance companies.
The McNeely-Heinze proposals
would also limit disability pay-
ment to a year duration and abol-
r- ish recovery rights for pain and
1r suffering in all but serious injury
for cases.
tad According to Bob Rowe, State
ur. Deputy Commissioner of Insur-
gs, ance enactment of a no-fault in-
y- surance plan would result in a
i- substantial reduction of the cost
of of automobile insurance. Most
claims would be paid quickly and
automatically with no needto take
S legal action, eliminating lawyer's

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