Some states follow the no-fault auto insurance system, including New York. The specific rules regarding no-fault car insurance, however, differ greatly from one state to another. This car insurance claims FAQ is specific to no-fault rules in New York.
What Exactly is No-Fault Auto Insurance?
With the no-fault auto insurance system, if you get injured in a motor vehicle accident, your own auto insurance policy will cover all or a part of your medical expenses and lost wages, regardless of who caused the accident. It’s vital to note that no-fault auto insurance is mandatory. In states that don’t mandate the no-fault auto insurance coverage, people can purchase it as extra protection on top of their state’s required liability coverage.
What are No-Fault Auto Insurance Claims?
No-fault car insurance claims, also known as personal injury protection (PIP) claims, are filed against the injured party’s own PIP insurance provider to seek payment for medical expenses, lost earnings, and other qualified accident-connected out-of-pocket expenses following an auto accident.
Do note, though, that injured parties will not be allowed to recover pain and suffering compensation through no-fault auto insurance claims. Additionally, no-fault benefits will only apply to injuries sustained in motor vehicle accidents. This means that if your car sustained serious damage from the accident, you will need to seek compensation for that vehicle damage from the at-fault party.
What is Covered Under No-Fault Car Insurance?
The limit is $50,000 for each individual that consists of the following benefits:
- Necessary hospital expenses and doctor bills, as well as qualified expenses for other health and rehabilitation services payable based on the NYC State Insurance Department’s fee schedules.
- 80% of lost wages up to $2,000 monthly, for no more than three years after the accident date.
- A maximum of $25 daily for a year for other necessary and reasonable expenses you’ve incurred due to your injuries, which can include transportation to and from your doctor appointments, and childcare and/or housekeeping costs, among others.
It is also crucial to point out that under the no-fault insurance system, your coverage also extends to all relatives that are living in your home. This means that your insurance provider will cover economic losses from motor vehicle accident injuries anywhere in the U.S., its possessions and territories, and Canada.
What If My No-Fault Benefits is Not Enough to Cover All My Losses?
Your most viable option is to file a personal injury claim against the liable party if your no-fault medical benefits exceed your medical expenses or if the injuries you have sustained are considered very severe, under the threshold set by the state. In your personal injury claim, you will likewise be able to pursue pain and suffering damages and property damage, which are not recoverable under no-fault coverage.
Speak to a Skilled New York Car Accident Lawyer Today
Contact The Law Office of David M. Kaufman for more details about car insurance claims and learn more about your specific case. Reach out to us online or call 631-761-6400 to schedule a free consultation with our experienced New York car accident lawyer.