Crashed? Here’s what to expect from no-fault insurance

New York is a state that uses no-fault insurance laws. What that means is that when you’re involved in a crash, your own insurance covers your medical care and other out-of-pocket losses without having to get the other driver’s insurance involved. In a no-fault claim, you’re not able to seek compensation for pain and suffering, and you won’t receive nonmonetary damages.

If your injuries are severe enough to meet New York’s serious injury threshold, you may be able to seek compensation from the other party, the at-fault driver.

What happens if your expenses are more than your insurance covers?

If your expenses go over $50,000, which is the no-fault limit currently available in New York, then you may be able to seek out additional personal injury protection (PIP) benefits from another auto policy that was also linked to the crash through someone in your vehicle. You may also be able to use benefits from another family member’s insurance policy. In some cases, you might qualify for Social Security Disability Insurance through the federal government, as well.

In some cases, you can seek compensation from the at-fault driver who caused your crash if you want to recover the costs that are over your policy’s limit.

Are there exceptions to no-fault insurance laws?

Yes, and one such exception is in the case of a collision with a motorcyclist. If you are involved in a crash with a motorcyclist, you will be able to pursue compensation from the first lost dollar. Pedestrians may claim against the policyholder in a crash as well.

In the case that the motorcyclist or driver doesn’t have insurance, injured parties may be able to claim against their family members’ auto policies. When no policy is available, New York law allows you to make a claim through the Motor vehicle Accident Indemnification Corporation, or MVAIC.

New York has unique laws, and it can be difficult to figure out where you stand in terms of making a claim for a car crash. It’s important to look into your rights following an accident so that you can get your medical care and out-of-pocket costs covered as well as receive any other compensation to which you’re entitled.