If you have recently moved to New York, you may not be aware that this is one of 12 states that provide No-Fault auto insurance coverage.
How does the No-Fault law work and how did Regulation 68 change it?
About the No-Fault Law
The objective of the No-Fault Insurance Law in New York is for insurance companies to pay for vehicle crash-related expenses no matter who was at fault for an accident. Covered expenses include medical and incidental costs and lost earnings up to a combined total of $50,000 for claimants who are motorists, passengers, pedestrians or bicyclists. Those not covered include motorcycle and scooter riders as well as someone who suffers an injury due to driving while intoxicated.
According to the New York Department of Financial Services, Regulation 68, which became effective in 2001, modified the timeframes associated with filing a No-Fault claim. In an effort to control a lengthy claims process, the regulation revised the filing period from 90 to 30 days and the submission of medical bills from 180 to 45 days. It also specifies a 90-day window in which to file a claim for lost wages.
Pain and suffering
In New York, a compensation claim for pain and suffering related to a vehicle crash is a matter that is separate from No-Fault. It constitutes a bodily injury or BI claim. Therefore, it is not uncommon to file two separate claims with one insurance company.
Exceeding the limit
If your costs exceed the $50,000 limit under the No-Fault Law, you have options. You can apply for Additional No-Fault benefits, file a claim with your health insurance carrier, explore Social Security Disability benefits if you qualify or sue the negligent party who caused the accident in which you suffered injuries.