Kennedy v. Auto-Owners Insurance Company

Dennis A. Kennedy, a pedestrian, was injured when struck by an automobile. He was insured by a policy of automobile insurance issued by Auto-Owners Insurance Company. Kennedy claimed he was entitled to work loss benefits, and when Auto-Owners refused to pay, Kennedy brought an action against Auto-Owners for a declaratory judgment of liability and for a determination of benefits. The Alger Circuit Court, William F. Hood, J., found that Kennedy was entitled to benefits and awarded benefits in an amount equal to earnings from a full-time job. At the time of the accident, plaintiff was temporarily unemployed, having left a summer job to return to college for the fall term. Auto-Owners appeals, alleging that Kennedy is not entitled to work loss benefits or, alternatively, that the trial court's determination of benefits was in error. Held : 1. Kennedy is entitled to receive work loss benefits. The intent of the Legislature as expressed in the no-fault automobile insurance statute was to compensate accident victims for loss of income whether from full-time or part-time employment.