What is no-fault insurance?
No-fault insurance, also known as personal injury protection (PIP) coverage, helps pay the costs of medical expenses for you and your passengers after a car accident. This type of insurance can be confusing for many people, and we are here to break it down to make it easier. No-fault protects you and the passengers in the car and also covers people injured in car accidents for medical expenses, any lost wages due to injury, and out of pocket insurance coverage. No-fault means medical insurance coverage for persons injured in a car crash.
The biggest takeaway here is that it doesn't mean that no one is held accountable for an accident. However, it's a guarantee that you will get money for injuries even if you caused the accident. If you are in an accident that is not your fault, it doesn't make sense that your own insurance company will pay for your medical bills. But that is how this type of insurance works. The experts at Joyce Insurance have an extensive understanding of no-fault insurance. We can break down what it all entails. Contact Joyce Insurance in Stony Point with any questions!
Who is at Fault?
No-fault insurance was implemented to protect those injured by no fault of theirs. The no-fault refers to the person on the bike, the people in your car during the accident, and the other vehicle. The purpose of no-fault insurance is so that people who are injured get the medical treatment they need. Before, doctors were reluctant to treat injured people because they didn't know how they would get paid. People still need medical treatment, even though their injuries are of no fault of their own. As all vehicles in the state of New York are required to have no-fault insurance, everyone should be covered, yes? It can be a bit tricky working out who is at fault in a -no-fault accident claim. Below, we break down a few scenarios to showcase how this insurance works.
If you are the driver or a passenger in an accident, that car's insurance covers your medical treatment.
If two or more cars are involved in an accident, each car's insurance is responsible for those payments. The vehicle you are in is responsible for paying your medical bills.
If you are a pedestrian and hit by a car, that car's insurance is responsible.
If you are on the road on a bicycle and get hit, that car's insurance pays
If you are in a taxi, on a bus, or other public transit, things get a little stickier. That car that hit the bus can be responsible unless you don't have insurance. The bus also has no-fault insurance. If the bus or cab is responsible, they will have to cover your medical expenses.
Making Your Claim in New York
Making a claim can be complicated, and the most important thing to be aware of is filing and submission deadlines. It's essential to file these right away, as any claims made past 30 days after the accident may leave you without any compensation. This is for the no-fault application to the insurance company. All medical bills, regardless of any that are on-going, must be submitted to the no-fault carrier within 45 days of your treatment. Any other expenses you have to pay for yourself, like transportation, prescriptions, lost wages, or even a healthcare worker, must be submitted within 90 days of being incurred.
If you are physically injured in an accident, that claim is separate from the no-fault claim. Most no-fault claims tap out at $50,000. However, you may be able to purchase up to $175,000 if needed.
Suppose you are seriously injured in a crash, as a cyclist, a pedestrian, the driver, or as a passenger. In that case, you may have the right to sue for your injuries, pain, and suffering. This situation is called bodily injury. If you're severely injured, you may be able to collect under the other driver's bodily injury insurance or your own uninsured/underinsured motorist.
If you are injured, the claim is made to the same insurance company that provides and pays your no-Fault claim and will also be defending and paying a judgment or settlement for your bodily injury claim.
If the accident occurs with a motorcycle, the rules will change, as they are exempt from having to have no-fault insurance.
If you do ride a motorcycle, make sure you have your own health insurance. If you are on a bike, a pedestrian, a passenger in a car, and you own a car, you should contact your insurance company, as well.
As it is very confusing, if you find yourself injured in an accident, whether you are driving or not, you may want to consider hiring a lawyer. While these no-fault rules were designed to move claims through quickly, it seems the exact opposite has happened. The team at Joyce Insurance is happy to help you navigate the complex world of no-fault insurance. Contact Joyce Insurance in Stony Point, NY, for more information on no-fault insurance.