Credit Tracy Samilton / Michigan Radio
Some companies that provide rehabilitation services for people catastrophically injured in car accidents are planning to shut their doors as of July 1.
That s when a 45% cut in medical reimbursements that was included in the 2019 changes to Michigan s auto insurance law takes effect. We can t absorb the 45% pay cut and stay in business, says Randal Bruce, President of Aspire Rehabilitation Services, a residential treatment center in Troy. The agency provides everything from housing to physical therapy to counseling. It s just impossible. We looked at everything we could, there s just no way to do it.
As of June 30, Aspire s 20 residents will need to find other places to live that can provide care for their traumatic injuries, and the company s 50 employees will be out of work.