What You Need to Know About No-Fault Car Insurance in Pennsylvania
When choosing a type of car insurance coverage in Pennsylvania, it is important to understand the concept of no-fault insurance and how it can impact people’s options post-accident. Here’s what you need to know about Pennsylvania’s no-fault insurance.
Pennsylvania is considered a choice no-fault state. Citizens are able to choose between no-fault and fault insurance based on the plan of their preference. If someone decides to pursue no-fault insurance, their ability to press charges post-accident is more limited. However, the process to receive damage payments may be simpler than that of fault insurance.
What is No-Fault Insurance?
After a car accident, someone who has no-fault insurance would have their own car insurance pay for any out-of-pocket payments, such as medical bills or car repairs, up to the coverage limit. With no-fault insurance, the fault for the accident does not matter. Each party’s own insurance will pay for their respective damages. This means that it is not necessary to go to court to prove fault, negligence, or misconduct to receive payments under a no-fault insurance policy.
No-fault insurance requires that drivers purchase Personal Injury Protection (PIP) to help cover the out-of-pocket payments after an accident. The cost of PIP differs from state to state. In Pennsylvania, drivers’ PIP insurance coverage costs $5,000. Drivers are also required to maintain a bodily injury coverage of $15,000 per injury and $30,000 per accident, as well as a property damage coverage of $5,000.
Choice No-Fault System in Pennsylvania
Pennsylvania allows drivers to choose between no-fault and fault insurance. The no-fault option is called limited tort insurance while the fault option is called full tort insurance.
Related: How to Prove an Injury Is From a Car Accident
Limited Tort Insurance
If they chose the limited tort option, Pennsylvania drivers must accept the no-fault insurance policies after an accident.
The policies for limited tort insurance are generally as follows:
- After a crash, a claim will be filed with their personal insurance provider for any monetary costs, regardless of who caused the accident.
- They may not receive compensation for pain and suffering unless the injuries are considered severe.
- They may not be able to file a lawsuit against other parties involved in the accident unless injuries are considered severe.
“Severe” injuries are determined based on the extent to which they have impaired the injured person, the treatment required to aid with the injuries, the duration for which they have or will impair the injured person, and other factors. Injuries that qualify as severe are typically life-altering and must be beyond a simple cut, bruise, or other flesh wounds.
Some perks of choosing the limited tort or no-fault insurance are:
Medical bills and other payments are paid more quickly by insurance because an investigation or suit is not needed
Limited tort insurance is cheaper than full tort or fault insurance
All parties’ bills will be covered by insurance regardless of who causes the accident
Full Tort Insurance
Those who choose the full tort insurance in Pennsylvania are deciding to opt out of the no-fault insurance. Many lawyers recommend that Pennsylvania drivers choose full tort insurance because it provides them with more options for suits post-accident.
The policies for full tort insurance are generally as follows:
- After a crash, medical expenses and other out-of-pocket payments will be paid by the insurance company of the individual who is at fault
- Parties involved in the crash may file a suit against each other
- Parties involved in the crash may be compensated for pain and suffering or other non-monetary damages if a suit is filed
Related: How to File a Car Accident Claim With Allstate
Traumatic Brain Injuries After a Car Accident in Pennsylvania
Traumatic brain injuries typically fall under the “severe” injury category in Pennsylvania. So, if an individual suffers a traumatic brain injury post-accident, regardless of the insurance type that they chose, they should be able to receive both monetary and non-monetary damages for their injury. In other words, medical bills as well as damages for pain, suffering, and emotional damages should be covered for traumatic brain injuries under both limited and full tort insurance policies.
The severity of the brain injury may impact the individual’s ability to receive damages for pain and suffering under limited tort insurance. If the injury is a mild concussion, for example, it may be harder to receive non-monetary damages with limited tort coverage. With full tort coverage, however, the individual should be able to receive non-monetary damages if they can prove in a lawsuit that the other driver was at fault for the accident.
FAQs About No-Fault Car Insurance in Pennsylvania
What if one driver has limited tort/no-fault insurance but the other has full tort/fault insurance in an accident?
If a driver with limited tort/no-fault insurance gets into an accident with someone who has full tort/fault insurance, the driver with limited tort insurance would get their payments paid for by their insurance company. The driver with full tort insurance would get their payments paid for by the insurance company of the at-fault party.
Am I required to have no-fault insurance in Pennsylvania?
No; Drivers in Pennsylvania are given the option between no-fault insurance and fault insurance. Before choosing, drivers should consider the full pros and cons of each option.
Contact Us
If you or a loved one would like to learn more about Pennsylvania No-Fault State for Car Accidents, get your free consultation with one of our Personal Injury Attorneys in Pennsylvania today!