No Fault Car Insurance: What Is Covered?

No fault car insurance is a convenient type of insurance which can help save time when claims need to be filed. Under the no fault insurance law, everyone involved in an accident is responsible for their own damages; this differs from car liability insurance because there is no procedure to determine who is at fault and therefore responsible for everything. No fault insurance is so convenient that many states have made no fault car insurance laws to save time which would otherwise be spent at court. If you’re considering no fault car insurance, you probably want to know precisely what can be covered by this type of insurance. This guide can help clear up the questions you may have about no fault insurance coverage.

No Fault Car Insurance: Basic Medical Coverage

Probably the most important thing that no fault car insurance covers is basic medical expenses. If you break your leg in a collision, you can quickly receive monies to pay for the medical bills incurred by your broken leg. This can be a great financial help for anyone who is injured in an accident. Rather than being hit with medical bills that you can’t pay until you go to court for your claim, you have the money you need when you need it. This can prevent bad financial situations if you don’t have the assets immediately available to pay for your own medical coverage otherwise.

No Fault Car Insurance: Lost Wages

If your injuries are such that you are unable to work for some period of time, no fault car insurance can reimburse you for unearned wages. Again, this can be of great help if you would otherwise find yourself in a financial crunch when trying to collect at fault insurance.

No Fault Car Insurance: Replacement Services

Replacement services are somewhat limited, but under some circumstances may still be paid for under no fault car insurance. If your injuries prevent you from performing tasks at home that you would otherwise have been able to do, no fault insurance may pay for a temporary replacement. For instance, if you are a stay at home mother and injuries received in a collision impede your ability to care for your children at home, no fault insurance may provide a babysitter for you until you are sufficiently recovered.

What No Fault Car Insurance Doesn’t Cover

No fault car insurance will not cover damages to your vehicle in a collision, nor will it pay any pain-and-suffering compensation. For this reason, it’s important to consider purchasing collision insurance on top of no fault insurance if you want your vehicle to be covered. You should also note that no fault insurance does not actually free you from being at fault for an accident. If you cause a car accident, you will still be found at fault and the various penalties that come with that, such as insurance fees, will still apply.

No fault car insurance basically covers injuries and direct results of injuries caused in a car accident. For total coverage, you will still need to purchase a policy which covers damages to your car.