What is “No-fault” Insurance in New York?

If you were injured in a car accident in New York, it’s important to know that New York follows a “no-fault” car insurance system.

This means that no matter who was at fault for the accident, each driver must use their own insurance to pay for damages.

Although it may seem unusual or unfair that your own insurance must cover damages from an accident that was caused by another person, the no-fault system was designed to avoid drawn-out litigations and to assure drivers that insurance would pay for the damages of anyone injured in a transportation accident, no matter who is at fault.

Who is covered and who isn’t?

Drivers, passengers, pedestrians, and cyclists are covered under no-fault law in New York.

Motorcycle drivers, however, are not. In order to be eligible for no-fault insurance, the following conditions must be met:

      • The accident took place in New York in a New York registered vehicle.
      • The vehicle is an automobile, truck, bus or other vehicle that’s covered under No-Fault law.
      • The vehicle is registered in New York and has New York car insurance.

Minimum insurance requirements and what is covered?

New York drivers are required to carry auto insurance that covers at least $50,000 in total liability bodily injury per accident, $10,000 in property damage liability, and $50,000 in no-fault personal injury protection.

When a person is injured in an accident, no-fault insurance provides a minimum of $25,000 per person and imposes a $50,000 maximum for out-of-pocket medical expenses.

This coverage, known as “personal injury protection” (PIP), can go to pay for lost wages, hospital bills, medical treatment, ambulance rides, prescription drugs, physical therapy and diagnostic tests.

Unfortunately, compensation from PIP is not always enough to cover every injury.

When damages exceed the limits of New York’s no-fault insurance coverage, you could have grounds to file a personal injury claim.

In New York, however, the criteria for filing a claim is that you must have suffered a “severe injury.” Some severe injuries include dismemberment, disfigurement, fractures, the loss of a fetus or the loss of a bodily organ.

Although the no-fault system is supposed to make claims easier, this is not always the case. If you’re filing a personal injury claim in New York, it’s a good idea to have an experienced Yonkers car accident attorney on your side.

Contact a personal injury attorney in Yonkers

At Sayegh and Sayegh, we understand how important it is to give each case the individual attention it deserves.

If you’ve been in an accident and live in Yonkers, NY, contact our firm today or call us at (914) 968-5800 to schedule your consultation.