Twelve states in the U.S. have no-fault insurance as it relates to a car accident.
With no-fault insurance, even if another driver caused your injury car accident, you will first have to file a claim with your own insurance company to recover compensation for you medical expenses, and lost income due to your injury.
Unfortunately, under no-fault insurance coverage, your insurer will not compensate you for physical damage to your car, or for pain and suffering, which means that you will have to go after the at-fault driver’s insurance company.
The Ins and Outs of No-Fault Insurance in a Car Accident
In no-fault insurance states, a driver who wasn’t at fault in a car accident would file a claim under the personal injury protection (PIP) provision of their insurance policy.
PIP coverage is designed to compensate you for economic damages related to treating your injuries, and for loss of income from missing work due to that injury. Most states place a cap on the amount of money you are paid for lost income.
However, in no-fault insurance states, victims can file suit against the insurance company of the driver that was at-fault if their injuries are serious, or if their medical expenses exceed a specified limit.
This allows victims who were not compensated for pain and suffering to recover monetary damages from the at-fault driver’s insurer.
For example, in Florida, all drivers must carry at least $10,000 of PIP coverage. If you suffer an accident in Florida that wasn’t your fault, the first $10,000 paid out for your claim will come from your own PIP coverage.
If the medical expenses for your injuries exceed $10,000, you can file a claim against the at-fault driver’s insurance company.
And Florida law also allows you to file a claim against the other driver’s insurance company if you suffer a permanent injury caused by an accident that wasn’t your fault.
The states that have no-fault insurance coverage do so in order to lower insurance premiums for all drivers by limiting the number of personal injury claims, and giving drivers hurt in car accidents a quick turnaround on paying for their medical bills and lost income.
The downside of no-fault insurance is that it may takes the burden off drivers who were at fault in an accident, because if medical expenses and lost wages don’t reach the state’s limit, the at-fault driver doesn’t pay a price for his or her actions.
Protect Your Rights
After you suffer injuries in a car accident, you are entitled to go after the person who caused the accident for your pain and suffering. But the process is not always easy, because the last thing insurance companies want to do is take responsibility for the actions of those they insure.
That’s why your best chance at success in this type of personal injury claim is to hire an experienced law firm that has had success winning settlements and trials. Visit our website today for more information.
Additional Reading
What are Your Responsibilities after a Car Accident?
Why Whiplash Is So Common In Car Accidents
