Specifically, our Supreme Court instructed this Court on remand to [c]ompare MCL 15.232(d)(iv ) (a "public body" includes "[a]ny other body which is created by state or local authority") and League Gen. Ins. Co. v. Mich. Catastrophic Claims Ass'n., 435 Mich. 338, 351, 458 N.W.2d 632 (1990) (holding that the MCCA is not a "state agency" but a "private association"); see also 1988 PA 349, § 2 (providing "legislative intent" pertaining to the status of the MCCA). The Court of Appeals shall then reconsider whether MCL 500.134(4) violates art. 4, § 25 in light of its resolution of that issue.

Specifically, our Supreme Court instructed this Court on remand to [c]ompare MCL 15.232(d)(iv ) (a "public body" includes "[a]ny other body which is created by state or local authority") and League Gen. Ins. Co. v. Mich. Catastrophic Claims Ass'n., 435 Mich. 338, 351, 458 N.W.2d 632 (1990) (holding that the MCCA is not a "state agency" but a "private association"); see also 1988 PA 349, § 2 (providing "legislative intent" pertaining to the status of the MCCA). The Court of Appeals shall then reconsider whether MCL 500.134(4) violates art. 4, § 25 in light of its resolution of that issue.

. . . [MCL 24.203.] In League Gen Ins Co v Michigan Catastrophic Claims Ass'n, 435 Mich 338, 343; 458 NW2d 632 (1990), our Supreme Court clarified that there are "two characteristics" required for an entity to be considered an "agency" under the APA: (1) the entity "must be created by the constitution, statute, or by agency action," and (2) the entity "must be a 'state' unit or position." A medical examiner is clearly created by statute, see MCL 52.201 et seq., but defendants argue that a medical examiner is a county unit or position, not a state unit.

Further, the Michigan Supreme Court has held that the MCCA is not a state agency. League Gen Ins Co v Mich. Catastrophic Claims Ass'n, 435 Mich. 338, 350-351; 458 N.W.2d 632 (1990) (holding the MCCA is not a state agency subject to the Administrative Procedures Act).

Furthermore, "[t]here is no dollar limit on an insurer's liability for medical, hospital, and rehabilitation benefits under the statute[.]" League Gen. Ins. Co. v. Mich. Catastrophic Claims Ass'n, 435 Mich. 338, 340 (1990). The lack of a dollar limit on insurers' liability for personal injury protection benefits potentially exposes insurers to enormous liability.

Ante at 112, citing Gauthier v Campbell, Wyant Cannon Foundry Co, 360 Mich. 510, 515; 104 N.W.2d 182 (1960). Similarly, statutes are presumed to be constitutional, and the challenger bears the burden of proving invalidity.Johnson v Harnischfeger Corp, 414 Mich. 102, 112; 323 N.W.2d 912 (1982); League General Ins Co v Catastrophic Claims Ass'n, 165 Mich. App. 278, 293; 418 N.W.2d 708 (1987), rev'd on other grounds 435 Mich. 338; 458 N.W.2d 632 (1990). I would hold that the DOC failed to meet its burden.

[¶ 19.] The Michigan Administrative Procedures Act defines agency as "A state department, bureau, division, section, board, commission, trustee, authority or officer, created by the constitution, state, or agency action." League Gen. Ins. v. Catastrophic Claims, 435 Mich. 338, 458 N.W.2d 632, 635 (1990). In League Gen. Ins. the Michigan Supreme Court was called upon to decide if the Michigan Catastrophic Claims Association (MCCA), an unincorporated, nonprofit association of private insurers, was an agency subject to their Administrative Procedures Act.

This means that an agency must be a state unit or position created by the constitution, a statute, or agency action. League Gen Ins Co v Mich. Catastrophic Claims Ass 'n, 435 Mich. 338, 343; 458 N.W.2d 632 (1990). If those two requirements are met, the agency is subject to the APA.

Under the no-fault act, insurers are required to pay or reimburse their insured's lifetime medical expenses. Farmers Ins Exeh v Titan Ins Co, 251 Mich App 454, 456; 651 NW2d 428 (2002). Furthermore, "[t]here is no dollar limit on an insurer's liability for medical, hospital, and rehabilitation benefits under the statute!!.]" League Gen Ins Co v Mich Catastrophic Claims Ass'n, 435 Mich 338, 340; 458 NW2d 632 (1990). The lack of a dollar limit on insurers' liability for PIP benefits potentially exposes insurers to enormous liability in cases in which injuries are severe.

To begin, we note that the no-fault act, MCL 500.3101 et seq., requires insurers to pay or reimburse their insured's lifetime medical expenses — "[t]here is no dollar limit on the insurer's liability for medical, hospital, and rehabilitation benefits under the statute." League Gen Ins Co v Michigan Catastrophic Claims Ass'n, 435 Mich. 338, 340; 458 N.W.2d 632 (1990). To alleviate some of the effect that large claims arising from severe injuries may have on insurance companies, our Legislature created the MCCA. Id.; Liberty Ins, supra.