If you have been involved in a car accident, you will likely end up dealing with an insurance company. Each state has its own rules and regulations about how auto insurance works. After your accident, determining whether your state follows a no-fault insurance system or an at-fault system may be crucial to getting compensated for your injuries.
Accident victims who live in a no-fault insurance state might not be able to sue the other driver for their damages. Instead, their own insurance company may cover at least some of the damages. In an at-fault state, the driver who caused the accident can be held responsible for your injuries.
What Is No-Fault Insurance?
No-fault insurance is a system in which your own insurance coverage pays for your damages after an accident regardless of who is at fault. As the name implies, it is not necessary to prove who is at fault for the accident.
Typically, no-fault insurance makes it easier and quicker for accident victims to get compensated. Instead of going through the lengthy process of proving liability or fault, a victim can simply file a claim with their own insurance and get compensated quickly. Additionally, it is meant to reduce the number of cases that go to court and reduce overall auto insurance costs.
Personal Injury Protection (PIP) Insurance Coverage
No-fault insurance states require drivers to carry personal injury protection (PIP) insurance. This type of insurance pays for your medical bills and lost wages from any injuries you suffer because of an accident.
There are some limits to PIP insurance. Some policies may have limits capped at $10,000, although you may be able to to purchase additional coverage. PIP insurance might only cover 80% of your medical bills, and it usually does not cover your non-economic damages. Likewise, it may not cover any property damage.
Imagine you are injured in a car accident caused by another driver in a no-fault insurance state. After the accident, you would file a claim with your PIP insurance for your medical bills and lost wages. You could also file a claim with the other driver’s liability insurance for the damages to your vehicle.
Can I Sue the Other Driver in a No-Fault State?
Typically, you cannot sue the other driver after a car accident in a no-fault state. You are limited to using your own PIP insurance to pay for your damages. However, there are some limited exceptions to this rule in no-fault states.
If you suffer severe injuries after your accident, you might be able to bring a lawsuit against the other driver. Each state has its own requirements for what qualifies as a severe injury, and they also differ in terms of what exceptions might apply. Other potential exceptions include crashes involving drunk drivers and accidents that leave you with more damages than your PIP can cover.
What Is At-Fault Insurance?
The vast majority of states follow an at-fault insurance system. These states follow the basic premises of tort liability. The driver who caused the accident is responsible for all the damages resulting from the accident.
Some common examples of damages available in at-fault insurance states include:
- Medical bills
- Lost wages
- Diminished earning capacity
- Pain and suffering
- Mental anguish
- Loss of consortium
- Loss of enjoyment of life
- Anxiety
- Depression
- Property damage
After the accident, you would file a claim with the at-fault driver’s liability insurance. An insurance adjuster would investigate the claim and all the evidence you submitted. They can decide whether to pay the claim or deny it based on the results of their investigation.
If the other driver’s insurance company denies your claim or offers you a settlement less than what you think you are owed, you can choose to file a lawsuit. At-fault states typically do not limit your ability to file a lawsuit against the at-fault driver after an accident.
Note that in some at-fault states, you can still purchase optional PIP coverage. And, in other states, you can purchase coverage like MedPay, which is similar to PIP. Check with your insurance provider to see what is available for you.
Contact a Griffin Car Accident Lawyer for a Free Consultation
If you have been hurt in a car accident in Griffin, Georgia, you should seek the help of an experienced attorney. Your Griffin car accident lawyer can help you gather the evidence needed to hold the at-fault driver accountable. The King Firm Car Accident and Personal Injury Lawyers has the experience you need on your side after a crash call us today at (404) 567-4546 for a free initial case evaluation.
