New Yorks No-Fault Insurance Law
Understanding your rights to compensation
Trying to recover compensation from insurance companies can be challenging. At Bisogno & Meyerson, we help clients receive the compensation they are guaranteed by law.
What is the New York no-fault insurance law?
No-fault insurance law in New York does not hold any driver at fault for car accidents. Your insurance company pays your damages regardless of fault. No-fault insurance, also called Personal Injury Protection (PIP) in New York, covers drivers, passengers, bicyclists and pedestrians (but not motorcyclists) for up to $50,000 in damages for medical costs, lost wages and other related expenses. Other expenses may include travel for doctor’s visits, a hospital stay and physical therapy. For lost wages you can receive 80 percent of your gross earnings, but the maximum is $2,000 per month.
The $50,000 coverage is the minimum policy limit coverage that drivers must purchase for PIP, but you have options for purchasing additional coverage.
You have a deadline of 30 days from the date of your car accident to file a no-fault claim with your insurance company, and up to 90 days to file your wage loss claim.
What if your injury is serious and damage amounts surpass your coverage?
When your injury meets the serious injury threshold and exceeds the $50,000 or your policy limits, you may be able to recover further benefits by suing the other driver. However, your injuries must meet a serious injury threshold, which New York no-fault insurance law defines as one of the following:
- Significant disfigurement
- Loss of a fetus
- Permanent loss of use of a body organ, member, function or system
- Permanent consequential limitation of a body organ or member
- Significant limitation of use of a body function or system
- Medically determined injury or impairment of a non-permanent nature that prevents the person’s performance of usual daily activities for no less than 90 days during the 180 days immediately after the injury
How does No-Fault Insurance Work in a NYC Taxi, Limo & Uber Accidents
If the taxi cab, limo, Uber vehicle, gypsy vehicle, or any other commercial delivery (livery) service in which you are a passenger is involved in an accident in NY the Taxi cab’s companies No-Fault coverage is provided and, once your no-fault claim is properly filed, the no-fault insurance will be available for the payment of your medical bills and other accident related expenses. In New York, no matter which type of car service you are a passenger in, or even if you are hit as a pedestrian walking and are hit by a cab, most taxi cabs and other car services, carry the minimum No-Fault coverage of $50,000.00 in addition to the liability coverage listed above.
NY Medical providers that provide treatment for your injuries, related to your accident, are required to adjust their bills to conform to the established No-Fault rates that are set by the NY State government. The medical providers will need to know the name of the no-fault insurance provider to bill them for their services. If the police are at the scene of the accident the driver of the taxi cab or car service will be required to show the officer the car’s insurance card. The police report will have the identification number of the insurance company in the body of the report. It is the driver’s duty to report the accident to his insurance company. However, a significant number of drivers “forget” or choose not to for whatever reason, inform their no-fault insurance carrier of the accident. At Bisogno & Meyerson, our law firm routinely notifies the insurance company of the accident, on your behalf. If you have a serious physical injury, it is a big mistake to contact the insurance carrier on your own. These insurance carriers will ask for information from you that you are not required to give them in an effort to limit their exposure in the accident case.
Do not give the doctors your health insurance information, as the primary method of payment for your accident is No-Fault insurance.
The No-Fault insurance company has the right to have their own doctors examine you after the first month of treatment. When you go for those visits remember that those doctors are not there to treat you. They serve only one purpose and that is to report their findings to the insurance company which will then seek to cut you off from benefits.
A motor vehicle’s No fault coverage covers up to $50,000.00 in benefits, regardless of the severity of the injury, as follows:
– Medical care and related services – These claims must be filed by your medical provider within 45 days of the service being rendered. The medical providers are paid based upon a schedule and you are not required to pay the difference.
– Lost Income – this claim must be filed by you within 90 days of the accident. The maximum loss of income recovery is $2,000 per month for not more than 3 years from the date of the accident. However this is further limited by not requiring the payment of more than
of your lost earnings [taking into effect the taxes that would have been deducted if you received your regular salary]. These payments are not otherwise subject to income tax;
– Other reasonable and necessary expenses – These are limited to $25.00 per day for up to one year. These can include the hiring of a housekeeper, transportation to and from doctor visits, etc.;
– Death benefits – $2,000.00.
Please remember that No-Fault Insurance coverage does not cover the non-economic losses such as pain, suffering, mental anguish, loss of enjoyment of life, or wrongful death. These will be covered in a lawsuit, assuming that your injuries reach the required threshold of “serious injury” as defined by statute.
As you can see, dealing with the different levels of insurance coverage is complicated and contains hidden traps for the lay person. It is best that you contact us before trying to cross this “mine-field” on your own.
Contact us online or call us at 718-680-3891if you have been injured in a NYC taxi, limousine, Uber, or other car service accident.
Bisogno & Meyerson, LLP can review your case, answer your questions and advise the best way to pursue a claim.
Contact a car accident lawyer about no-fault insurance issues
The attorneys at Bisogno & Meyerson, LLP help you overcome insurance challenges. To schedule a consultation to discuss your case, please contact us online or call us at 718.745.0880. We speak Spanish, French, French and Portuguese.