Getting compensation from insurance companies has its challenges. It is, especially true when seeking damages from the at-fault party’s insurance company. No matter how careful you were on the road, they will try to pin some blame on you to ensure the compensation payable is as little as possible.
Now, there is a type of policy for car accidents known as no-fault insurance. In a bid to streamline the claiming process, many provinces such as Florida and Michigan have adopted the no-fault insurance.
In this article, we are going to get an in-depth look at what the no-fault insurance cover is all about.
What is no-fault insurance
Just as the name suggests, no-fault insurance simply means that no one is at fault.
Insurance companies are required by the law to do investigations after an auto accident to determine who is at fault. The same is also carried out in no-fault claims, and a percentage of fault is assigned to each of the parties involved in the accident.
However, in no-fault insurance, claims are paid regardless of whether you are at fault or not. The same also applies to the other parties involved. In some provinces, this insurance not only caters to damage to the car but also medical costs. In some cases, compensation for the pain and suffering, as well as the loss of enjoyment for life is given.
Fault determination rules
Every insurance company has a set of rules and regulations they use to determine how at-fault each of the parties are. They investigate and outline all possible accident scenarios, and determine who is at fault for each one of them.
Do you think a no-fault insurance policy is easy to claim? You will be surprised.
While car owners expect to be compensated regardless of the part they played in the accident, sometimes it is easier said than done.
Insurance companies are in business, and it is only natural for them to pay as little as possible. That is why you might need a Boca Raton car accident lawyer to help you through the process and make sure you receive the compensation you deserve.
How fault compensation works
After the insurance company has assigned a percentage of fault to each party, discussions on the amount of money payable commences.
If it is determined that you are to blame for the car accident, you will be required to cater for part or all of the repair costs to your car. The insurance company may also label you a ‘risk client’ and increase your monthly payable premiums. The worst thing is that the whole incident goes into record, and you might encounter challenges when looking for another car insurance policy.
For more information on the basics of living in a no-fault state, visit Law Offices of Casey D. Shomo
Advantages of no-fault claims
For starters, no-fault insurance eliminates lengthy battles between the two insurance companies.
Additionally, they have significantly shortened the time it took for the at-fault party’s insurer to reimburse the plaintiff. This alone has enabled people to take care of any damages to their cars and medical bills quicker.