New York’s no-fault car insurance system is meant to simplify the claims process after a car accident, but for many people, it makes things more complicated. Without knowing how the system works, injured drivers and passengers may not know who to file a claim with or how to recover fair compensation.
If you have questions about New York’s no-fault car insurance system, don’t panic. This guide explains everything you need to know and how to seek fair compensation for your injuries.
Minimum Auto Insurance Requirements in New York
According to the New York Department of Financial Insurance, all auto insurance policies in the state must include $50,000 in no-fault Personal Injury Protection (PIP) coverage. Injured drivers can use this coverage to cover their medical bills, lost income, and other reasonable expenses from a collision. As the name “no-fault” implies, this coverage is available regardless of who caused the crash.
(One crucial note: Motorcycles are exempt from this requirement under New York, meaning motorcycle insurance policies don’t include no-fault coverage. Injured riders must find other ways to cover their losses after a crash.)
State law also specifies that all auto insurance policies must include certain amounts of liability coverage. This insurance covers injuries that the policyholder causes to another party in a collision. The minimum liability coverage amounts in New York are:
- $25,000 for injuries to one person injured in a crash.
- $50,000 for injuries to multiple people in a single crash.
- $10,000 in property damage coverage for a single crash.
How an Auto Accident Insurance Claim Works in New York
When you sustain injuries in a car accident caused by someone else in New York, your no-fault PIP coverage is your first option for recovering compensation for your losses. No matter who caused this crash, you have at least $50,000 available to cover your medical bills, lost income, etc. You will be able to claim compensation from the at-fault party’s insurer for the damage to your vehicle.
But what happens if your medical bills and wage losses exceed your no-fault coverage? In these circumstances, you may be able to file a claim against the insurance policy of the driver who caused the collision for the overage. You might be able to claim pain and suffering compensation in your claim as well, but only if your injuries meet the “serious injury” requirements under New York law. According to state law, serious injuries include:
- Permanent loss of use of a bodily organ, member, system, or function
- Permanent consequential limitation of use of a bodily organ or member
- Significant limitation of use of a body function or system
- Broken bones
- Dismemberment
- Severe disfigurement
- Any injury preventing you from performing your typical daily activities for 90 days during the first 180 days after the crash
Contact a Southwest New York Auto Accident Attorney Now
The Southwest New York car accident lawyers at Fessenden Laumer & DeAngelo, PLLC, know all the ins and outs of the state’s no-fault insurance system and can help you seek compensation. We can document your injuries, work to prove your losses meet the threshold for a personal injury claim against the other driver or another party and gather evidence to prove they caused your injuries. You don’t owe us any fees unless you recover compensation. Call now or complete our contact form for a free consultation.
