Were you involved in a car accident that resulted in an injury, but your state has no-fault insurance laws? If so, you're likely wondering how this will play into a potential personal injury lawsuit.
No-Fault Insurance Protects People In The Insured Vehicle
What makes no-fault insurance unique is that it is designed to protect people that are in the insured vehicle, regardless of who caused the accident. This means that you use your own insurance rather than the other driver's insurance to pay for your injuries and other damages.
Think of no-fault insurance like health insurance. You go to your doctor to get treated for your injuries related to the accident, and the car insurance company pays for your medical bills up to the policy limits.
No-Fault Insurance Pays For Pedestrian Accidents
What if you were a pedestrian that was struck by a vehicle in a state with no-fault insurance? You would actually file a claim with the insurance of the vehicle that hit you in this situation, rather than use your personal insurance. If the driver of the vehicle didn't have insurance, then the pedestrian could use the uninsured motorist coverage under their own vehicle's no-fault insurance policy.
No-Fault Insurance Pays For More Than Just Injuries
You likely have other losses associated with your injury aside from medical bills. Thankfully, no-fault insurance will also pay for things like lost wages, personal property damages, and even transportation costs associated with your injury.
For example, you may have damaged your glasses in the accident and need to get new ones or have to take a taxi to pick up your vehicle from the auto shop to be repaired. You can even get rental car expenses covered in some situations. As long as these expenses fall within the policy limits, they will likely be covered.
No-Fault Insurance Only Allows You To Sue The Other Driver When Seriously Injured
The purpose of no-fault insurance is to prevent the court system from being overrun with many small lawsuits regarding minor auto accidents and injuries. However, it is still possible to sue the other drivers for accidents that cause major injuries. These are typically defined by state statutes, such as needing medical care for a specific amount of days or having a specific type of injury.
Reach out to a no-fault insurance attorney if you need help filing a personal injury lawsuit in a no-fault insurance state.