If you were injured in a car accident in New York City or NY state, you should be able to obtain at least $50,000 compensation for your medical bills, loss of earnings and other out-of-pocket costs regardless of who was at fault in the accident because New York is among the 12 States in the US that have a No-Fault coverage. One can also purchase excess no-fault coverage up to $175,000.
The New York’s automobile No-Fault Law was enacted in 1970 with the goal to get insurance benefits quickly to anyone involved in a car accident regardless of who was at fault in the accident. It was initially a straight forward process that helped victims getting quickly compensated without having to go through long and complicated litigation. However, under the pretext of abuse, insurance companies have made it so complicated to file a claim that you may need the help of an attorney to help you navigate the process and make sure you obtain proper compensation.
What does the No-Fault cover in NY State?
The basic No-Fault insurance covers a minimum of $50,000 for:
- The accident-related medical bills such as ambulance, x-rays, hospital stay
- Loss of earnings for up to $2000 a month and for a maximum of 3 years from the date of the accident
- Incidental costs linked to the accident such as taxi, household help, etc. for up to $25 a day and for one year from the date of the accident
- a $2000 death benefit on the top of the $50,000 basic no-fault limit to the estate of an individual killed in an accident
Who is covered?
Car occupants (driver and passengers), pedestrians and cyclists injured in a crash with a car, a truck a bus or a taxi registered in NY State are covered by No-Fault providing the accident occurred in NY State and the motor vehicle has a the minimum insurance policy required in NY State.
Who is not covered?
- Operators and passengers of motorcycles, ATVs and some scooters are not covered (but pedestrians and cyclists injured by them are)
- Intoxicated or impaired operators of motor vehicles
- Someone having an accident while committing felony or intentional injury
- Owners of uninsured vehicles
What if the vehicle is uninsured?
In New York, anyone owning a motor vehicle must purchase a No-Fault or Personal Injury Protection (PIP) insurance coverage, liability insurance coverage as well as uninsured motorists insurance coverage to be able to register their vehicle. If someone is injured in a crash with a vehicle that is not proprely insured, this person might be able to be covered by their own no-fault insurance if they have one, by their health insurance if they have one or by the Motor Vehicle Accident Indemnification Corporation (MVAIC).
How do I get compensated if the damages resulting from my injuries are above $50,000?
If you suffer serious injury, your attorney will file what is called a bodily injury claim which is completely separate from the non-fault claim.