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For determining the fault of a car accident, the crucial factor is the amount of “Negligence” involved of any party. If you were negligent, then you are at fault. And if you were not negligent in your actions, then you are at “No-Fault.” Establishing fault is necessary to get your recovery damages. But the significance of compensation gets reduced in the cases of No-Fault Accidents. Where one could not establish the fault of any party.
What Happens To Your Insurance Claim In No-Fault Accidents?
No-Fault insurance is more commonly known as a Personal Injury Protection claim. In a no-fault accident, you need to submit a claim to your insurer and not the other party’s insurer. In these cases, your insurer gives you coverage only for your medical expenses and lost savings. In exceptional circumstances, it also covers out-of-pocket damages; however, it is rare. The major difference between fault insurance and no-fault insurance is that the latter does not consider pain and suffering as a segment of your compensation. No-fault insurances are generally very expensive. These insurance covers are time-saving and reduce the hassle of filing lawsuits to get compensation.
There is no need to find out who was responsible for the accident in a no-fault claim. Hence, the chances of any dispute occurring are ultimately less. There is also no reason left to bring any lawsuit against any of the concerned parties. Moreover, it does not mean that a no-fault claim stops you from filing lawsuits.
Situations Where You Can File A No-Fault Lawsuit
You can file a lawsuit in no-fault cases, but only if your situation is out of the ambit of ordinary attention. That means that the accident must have resulted in some serious injury or damage to you. And the circumstances have crossed the injury and monetary levels.
What Does No-Fault Insurance Not Cover?
- Emotional Damages
- Damages caused due to Theft
- Car Damage
- Accidents occurring due to Motorcycles
Cooperation With Your Insurer Is Vital In A No-Fault Claim
The rules and approach that is followed when dealing with a personal injury claim must be completely ignored while dealing with a no-fault claim insurer. The procedure in the latter one is entirely different and sensitive. Unlike in normal injury cases, you might have to give recorded statements to the insurance company here. You will have to take a cooperative approach in no-fault cases. There are high chances that the insurance company will ask you to take a medical examination by the physician of their choice. If you refuse to be cooperative, then this becomes a strong ground for your insurance company to deny the compensation request.
Claiming compensation in a no-fault state is a tacky process. The formalities required are very different from the normal damage cover. It is always preferable to refer to a no-fault expert injury lawyer to deal with such cases. The no-fault accidents generally appear on driving records, but they will not impact your rate unless you have a huge past-record of accidents or if your insurer has to pay for the claim.