Question: Are Out of State drivers who have a policy sold by a company doing business in New York covered for compensation beyond what No-Fault will cover if they have liability coverage for more than $50,000 (let’s say $250,000)?
New York’s No-Fault Insurance provides for up to a minimum of $50,000 coverage for economic losses. Some companies offer policies that raise the No-Fault coverage beyond $50,000. In this question, a person may have a policy that increases their coverage for basic economic loss to $250,000 . You can ask your auto insurance agent or company how much coverage you have and how much it would cost to raise that coverage.
What New York No Fault Insurance Covers
New York’s No-Fault covers these losses:
- Medical expenses
- Lost wages
- Other economic losses
No-Fault will provide coverage for medical expenses for medical care you receive related to your accident. Basic No-Fault coverage entitles you to receive 80 percent of your accident-related lost earnings up to $2,000 a month paid over a maximum of three years. You are entitled to receive coverage for any expenses you incurred because of the accident. For example, if you need to fill a prescription, No-Fault should pay for that medicine. If you need to take a taxi or a bus to a doctor’s appointment, No-Fault should cover that expense. Even if you have to hire someone to help with housework or babysitting because of your injuries, No-Fault should pay for those expenses that you would not have otherwise incurred if you had not had the accident.
If you have expenses beyond the No-Fault limit of your coverage, then you must sue to recover the additional damages. For example, if No-Fault pays you $20,000 in lost wages and you have $100,000 in medical expenses, the standard No-Fault policy will only pay $30,000 of your medical expenses (for a total No-Fault payout of $50,000). You would then have to sue the other driver for the additional $70,000 in medical expenses.
To receive coverage for pain and suffering, you would have to sue the driver who caused the accident. New York’s No-Fault law requires that a person demonstrate that he has suffered a “serious injury” to seek compensation for pain and suffering. (You can read more about the serious injury requirement here and here. You can read more about New York No-Fault Insurance here.) If you believe you have a serious injury and want to seek compensation for those injuries, then you should contact a New York personal injury lawyer experienced with motor vehicle accidents. Your attorney will work with you to determine potential liability in the car crash and to determine the feasibility of pursuing damages, either through a settlement or a lawsuit.
I hope you found this information helpful. If you have questions about injuries suffered in a car accident or other motor vehicle accident, you may want to consult a New York personal injury attorney experienced with car accidents. I will be glad to answer your questions and assist you. You can call me at 1-800-660-1466 or email me. You can also visit my website or read more on my blog, New York Law Thoughts.
Carol L. Schlitt
New York Personal Injury Attorney
This material is intended for informational uses only. It is not meant as legal advice. To receive legal advice, you should consult an attorney.