What is No-Fault Insurance?

by William Mattar | March 7th, 2019

New York State is a no-fault insurance state. Usually, that kind of a statement gets confused looks from people as they may not be familiar with what a no-fault state is or what that means. If you are a motorist in New York State, then it is important for you to understand what no-fault insurance means and how it affects you.

What is No-Fault Insurance?

New York State has adopted no-fault laws which say that your insurance company is responsible for paying your accident expenses. This ensures that your property damage and medical expenses due to the accident are covered immediately, even while liability is still being determined.

Breaking Down The Expenses

Personal injury protection (PIP) coverage is that part of your auto insurance that can pay for medical expenses and lost income due to the accident. In the state of New York, every driver must carry at least $50,000.00 in PIP coverage. You can buy additional coverage if you choose.

How Does PIP Work?

In New York State, PIP will pay you the lesser of $2,000.00 per month or 80 percent of your actual job earnings. If your PIP coverage runs out before that three years is up then your PIP income payments will stop, and you can turn to the negligent driver to make up the difference.

Dealing With The Insurance Company

Your insurance company may send you to doctors who claim you are fit to work and that stops your income payments, or your insurance company may claim that you had an unnecessary procedure done during your treatment and refuse to pay for it.  This can affect your ability to prove a case against the negligent driver.

Our firm may be able to help you in your case against the negligent driver. If you were injured in a car accident, we invite you to contact our office and have one of our car injury lawyers review your case to see if you may need help filing a claim.