What Isn’t Covered by No-Fault Insurance After an Accident?
By Ross Cellino
Understanding what is and isn’t covered by your own insurance after a car accident can be confusing. New York’s No-Fault coverage helps accident victims to pay certain expenses after a crash, regardless of who caused the accident, but it doesn’t cover all losses.
If you were injured in a New York car accident, understanding what No-Fault insurance doesn’t cover can make your next steps clearer. To discuss your available options, schedule a free case evaluation online or call Cellino Law at 888-888-8888 to speak with a member of our team.
Key Takeaways
- New York No-Fault insurance doesn’t cover vehicle repairs or other property damage.
- No-Fault insurance doesn’t compensate injured people for pain and suffering or other non-economic losses.
- Motorcycle riders and passengers are excluded from standard New York No-Fault benefits.
- Basic No-Fault insurance provides up to $50,000 per eligible person for certain medical expenses, lost wages, and other economic losses.
- Lost wage benefits are limited to 80% of earnings, up to $2,000 per month for up to three years.
- Additional insurance coverage or a personal injury claim can become relevant when No-Fault benefits don’t fully cover accident-related losses.
Driving While Intoxicated or Impaired
A driver can be excluded from No-Fault benefits when their injuries result from operating a vehicle while intoxicated or impaired by drugs. Under New York’s No-Fault rules, the intoxication or impairment must have contributed to the accident for this exclusion to apply. Certain emergency medical services can still initially be covered, including:
- Ambulance transportation
- Emergency medical screening
- Necessary treatment provided at a hospital
Later on, if the driver is convicted of driving while intoxicated or impaired, the insurance company can seek repayment for qualifying emergency services it covered.
Driving for a Rideshare or Delivery Service
Insurance can become more difficult to navigate when an accident occurs while someone is driving for a rideshare or delivery company. The applicable policy can depend on the type of service and what the driver was doing at the time of the crash. Drivers using their personal vehicles for this type of work should know:
- When their personal auto policy applies
- When the rideshare or delivery company’s insurance begins
- Whether additional insurance is needed
Rideshare and delivery companies can have different insurance rules, so reviewing the policies involved can help determine which coverage applies.
Property Damage
While New York No-Fault insurance covers certain injury-related economic losses, it doesn’t pay for repairing or replacing your vehicle or other damaged property. Depending on the circumstances, property damage could instead be covered through:
- Your collision coverage
- The at-fault driver’s property damage liability insurance
- Other applicable auto insurance
If you caused the accident and don’t have collision coverage, you could be responsible for the cost of repairing or replacing your own vehicle.
Motorcyclists
New York’s No-Fault insurance rules don’t provide the same protection to motorcycle riders and passengers as they do to people riding in most other vehicles. This means that No-Fault coverage can’t be used for expenses, such as:
- Medical bills
- Lost wages
- Other accident-related economic losses
Because motorcycle accidents are treated differently under New York insurance law, the coverage available is dependent on the circumstances of the crash, along with the policies involved.
Pain and Suffering or Emotional Distress
No-Fault insurance is designed to cover certain financial losses after an accident. It doesn’t compensate an injured person for non-economic losses, such as:
- Physical pain and suffering
- Emotional distress
- Loss of enjoyment of life
To seek compensation for these losses from an at-fault party through a personal injury claim, an injured person must meet New York’s serious injury threshold. Examples include fractures, serious disfigurement, or certain permanent or significant limitations.
Medical Expenses That Exceed the No-Fault Limit
Basic New York No-Fault insurance provides up to $50,000 per eligible person for certain accident-related economic losses, including medical expenses and a portion of lost earnings.
A serious injury can require extensive medical treatment that causes basic No-Fault benefits to run out. Some drivers purchase additional coverage, such as Additional Personal Injury Protection (APIP) or Optional Basic Economic Loss (OBEL), to increase the amount available beyond the standard $50,000 limit.
Overall, the right source of payment will depend on the circumstances of the accident and the insurance policies involved.
What If My Lost Income Is Above the No-Fault Limit?
No-Fault insurance doesn’t always replace all of the lost income after a serious accident. Basic benefits cover 80% of lost earnings, up to $2,000 per month for a maximum of three years.
If your injuries keep you from working for an extended period or your income exceeds these limits, part of your lost wages can remain uncovered. Keeping records of missed work and lost income can help show the full financial impact of the accident and support any additional claim for those losses.
What Can I Do If No-Fault Doesn’t Cover My Injuries?
If your No-Fault benefits don’t cover all of your medical bills, lost wages, or other accident-related losses, you could have a claim against the driver or another party responsible for the accident.
The compensation available will depend on factors such as the severity of your injuries, who caused the crash, and the insurance policies involved. Speaking with a personal injury attorney can help clarify which policies apply and what options are available based on your situation.
Contact Cellino Law After a New York Car Accident
Insurance issues can become complicated when No-Fault benefits are denied, don’t apply, or aren’t enough to cover your losses. In these situations, the attorneys at Cellino Law can review the circumstances of your accident and explain the options available to you.
Schedule a free case evaluation online or call Cellino Law at 888-888-8888 to speak with a member of our team. There are no fees unless we win your case.
Content checked by the personal injury attorney Ross Cellino
Ross Cellino
As a family man and a trial attorney, I pride myself on winning cases and serving the community. With over 35 years of experience, I understand the function of a jury, how juries arrive at conclusions, and the role that the jury plays in administering justice. I know how to win cases. You can find us in Manhattan, Buffalo, Melville, Rochester, Brooklyn, The Bronx, Queens and other locations throughout New York.
