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Quick Summary
- Nevada is an at-fault state, meaning the driver at fault is responsible for covering damages through their liability insurance.
- Insurance companies investigate accidents to determine fault, which can result in higher premiums for the at-fault driver.
- No-fault insurance is not required in Nevada, unlike 18 other states where it is mandatory.
- After an accident, call 911, collect driver and witness info, take photos, and notify your insurance company.
What is No-Fault Insurance?
According to USNews, with no-fault insurance, also known as personal injury protection (PIP), your medical expenses and those of your passengers are covered within the limits of your policy, deductibles notwithstanding [1].
Depending on your insurer and state regulations, this coverage may extend to lost wages, funeral expenses, and more.
However, no-fault insurance doesn’t offer compensation if your vehicle is stolen or vandalized, nor does it cover damages to your car or other people’s property in a collision.
Additionally, it often restricts your ability to sue for damages.
Personal injury protection or no-fault coverage is required in a dozen states and optional in several others.
Minimum coverage amounts vary by state but range from less than $5,000 up to $50,000, and you may be able to increase that amount up to a certain limit
What’s the Difference Between At-Fault and No-Fault Accidents?
In the majority of states, the party deemed “at fault” in a vehicle accident is responsible for covering the injuries of the other driver and their passengers, usually through their liability insurance..
Determining Fault
Insurance companies investigate accidents to determine liability by reviewing police reports, witness statements, and damage photos.
This process can range from simple to complex depending on the accident’s circumstances.
Being at fault in an accident usually results in higher insurance premiums, unless the policy includes accident forgiveness, such as Progressive’s Large Accident Forgiveness, which prevents rate hikes in certain situations.
What About No-Fault Accidents?
In no-fault states, each driver’s own insurance covers their medical expenses, regardless of who caused the accident. This system simplifies claims but limits the ability to sue for damages.
Which States Have No-Fault Insurance?
According to NationWide, No-fault insurance stands out as mandatory coverage in specific states.
Here’s a rundown of 18 states where drivers are obligated to obtain no-fault / PIP coverage, accurate as of November 2016 [2]:
- Arkansas
- Delaware
- Florida
- Hawaii
- Kansas
- Kentucky*
- Maryland
- Massachusetts
- Michigan
- Minnesota
- New Jersey*
- New York
- North Dakota
- Oregon
- Pennsylvania*
- Texas
- Utah
- Washington
*Kentucky, New Jersey, and Pennsylvania are known as “optional no-fault” or “choice no-fault” states. In these states, drivers choose whether they will be held to a no-fault system.
How Do Insurance Companies Determine Fault?
State laws, whether at-fault or no-fault, significantly influence the handling and payout of auto insurance claims.
Furthermore, the way state laws interpret negligence plays a critical role in determining fault and the resultant claims processing.
In many instances, a car accident isn’t entirely the fault of one driver. Insurers often allocate a percentage of fault to each involved party based on the specifics of the accident.
Consider a scenario where a speeding driver rear-ends your vehicle just after you’ve abruptly changed lanes. In such cases, both parties might be deemed partially at fault.
For instance, the other driver could be assigned 60 percent of the blame, while you could bear 40 percent responsibility.
The degree to which you’re found negligent affects how you recoup your claim settlement after a car accident. And each state’s laws vary when it comes to negligence.
What to do if You’ve Had a Car Accident
According to the California Department of Insurance, If injuries are present, immediately call 911. Additionally, contacting the police is crucial.
In some regions, police may attend every accident based on factors like accident severity and location (note that some jurisdictions may not dispatch police to accidents on private property) [3].
Regardless, it’s important to report the accident to the police, especially if it involves a hit and run, as most insurance policies require police notification within a certain timeframe for such incidents.
Gather the following information from all drivers involved:
- Names, addresses, telephone numbers, and driver’s license numbers.
- License plates and vehicle identification numbers. Verify this information by requesting to see each driver’s license and vehicle registration.
- Also, collect contact details for all passengers and any witnesses.
If possible, use a camera or cellphone to take photos of the damage and the accident scene, including traffic signals and potential visual obstructions.
Should you find damage to a vehicle or property and the owner is not present, leave a note with the contact information of the drivers and vehicle owners involved.
Immediately inform your insurance agent and/or company about the accident.
If there are injuries, or if vehicle damage exceeds $750, you must report the accident to the Department of Motor Vehicles within 10 days. Failure to do so can lead to the suspension of your driver’s license.
See all related personal injury and accident lawsuits our attorneys covered so far.
Get a Free Lawsuit Evaluation With Our Lawyers
The Litigation Group at Schmidt & Clark, LLP is an experienced team of trial lawyers that focuses on the representation of plaintiffs in lawsuits.
We are handling individual litigation nationwide and are currently accepting new legal challenges in all 50 states.
If you or a loved one was involved with these matters, you should contact our law firm immediately for a free case evaluation. You may be entitled to a settlement by filing a suit and we can help.
References:
1. https://www.usnews.com/insurance/glossary/what-is-no-fault-car-insurance
2. https://www.nationwide.com/lc/resources/auto-insurance/articles/no-fault-insurance-states
3. https://www.insurance.ca.gov/01-consumers/105-type/95-guides/01-auto/hadaccident.cfm