Suing An At-Fault Driver When You Live in a No-Fault State

Do you live in one of the twelve no-fault states? Because policymakers in many states decided to change from a fault-based tort system to a no-fault system, the good driver no longer has to prove that the accident was someone else’s fault in order to get compensated.  His own insurance company picks up the medical bills and lost wages up to the amount of insurance he or she purchased.  The tradeoff, though, is that, in general, the injured person cannot sue the at-fault driver for medical bills, pain and suffering, emotional distress and inconvenience.  There are some exceptions, though:

The 12 No-Fault States are:
Florida
Hawaii
Kansas
Kentucky
Massachusetts
Michigan
Minnesota
New Jersey
New York
North Dakota
Pennsylvania
Utah
Plus, the District of Columbia

With regard to property damage to your car, or to its contents, insurance claims are still based on fault even in no-fault states.  These claims may still result in a lawsuit against the at-fault driver.

For injuries, however, lawsuits are only permitted under certain circumstances, and these vary by state.  The injured person can sue if the injuries meet a certain threshold, the definition of which varies considerably among the no-fault states.  If the claim exceeds either a monetary or an injury threshold, the injured party may sue.  With a monetary threshold, medical expenses must be over a certain dollar amount. Where there is an injury threshold, the injuries must be relatively severe or expressed in terms of length of disability.  Some states have both as an option so you can choose either, or.

Monetary Thresholds
In the following 7 states, the injured person’s medical expenses must exceed a dollar threshold before taking their injury liability claim to court:
Hawaii
Kansas
Kentucky
Massachusetts
Minnesota
North Dakota
Utah

You need to check the law in your state to see if your medical bills meet the monetary threshold for filing a lawsuit against the at-fault driver.

Injury Thresholds
In the following states, you can file a liability claim if you are at least relatively seriously hurt. The criteria of seriousness can be expressed in terms of a written description (e.g. permanent disfigurement, scarring, or fractured bones) or expressed in terms of length of disability (e.g. disability for more than 60 days).  Injuries that qualify as serious are defined by each state’s law. The states that use severity as a threshold are:
Florida
Michigan
New Jersey
New York

You need to check the law in your state to see if your injury or injuries meet the injury threshold for filing a lawsuit against the at-fault driver.

Choice States
In 3 states, the driver chooses to have a policy based on no-fault or the tort-based system where the policyholder retains litigation rights for accident compensation.
Kentucky
New Jersey
Pennsylvania

Contact either your insurer or your state’s Insurance Department on the specific laws and requirements in your state.