Auto Accidents: Kentucky "No-Fault" Insurance
- What is Kentucky's no-fault insurance law?
- How can I collect no-fault benefits?
- Do I need an attorney to collect these benefits?
- Will I be required to take a medical examination?
- Will I be required to make a statement?
- What if I'm in a car that doesn't have insurance?
- What about motorcycles?
- What about deductibles?
- How does this affect my right against an at-fault driver?
- Do I have to pay back my insurance company?
- What about time limits to bring an action against an at-fault driver?
What is Kentucky's no-fault insurance law?
Kentucky's no-fault insurance law actually has nothing to do with fault. It is a law about how insurance benefits must be paid in the event of an automobile accident resulting in injury. [Note: No-fault does not apply to damage to your car, which is covered under the "collision"provision of your policy and/or the "property damage liability"provision of the at-fault vehicle’s policy
A person involved in an automobile accident must look to the insurance policy on the vehicle they were occupying at the time of the accident to collect the first $10,000 in out-of-pocket losses. We will also investigate whether you have “added” PIP available.
These out-of-pocket costs include medical bills, prescriptions, a limited benefit for lost wages, funeral bills up to $1000, and survivor’s loss of services. The wage loss benefit on most policies is capped at $200 per week. Added coverage (called "added PIP") is available on request. Added PIP can also be "stacked," creating more than the "basic coverage" of $10,000. Basic coverages of $10,000 cannot be stacked.
How can I collect no-fault benefits?
If you are injured in an automobile accident you must first notify your own insurance company If you were not in your own car, then the insurance company covering the car you were in must be notified. If you were a pedestrian, then you must contact the insurance company for the vehicle that struck you. If the insurance company for the vehicle that struck you is unknown, or if the vehicle that struck you is not insured, then you must contact your own insurance company.
Once the insurance company responsible for your PIP has been contacted, they will require you to complete a No-fault/PIP application. This application must be filled out, signed, and returned to the company in order to qualify for No-fault/PIP benefits.
Additionally, you will have to complete and sign authorizations for the insurance company to obtain your medical and payroll records. The insurance company will have to be provided copies of itemized medical bills, pay stubs, W-2 forms, doctors’ statements and statements from your employer. Once the insurance company has all the required information it is required to make payment within 30 days. OUR OFFICE DOES ALL THE PAPERWORK FOR YOU.
Do I need an attorney to collect these benefits?
Many times you can collect these benefits from your own insurance company without an attorney Although the application form seems simple, there are some questions that can create problems if answered incorrectly. However, you also may need to proceed against an at-fault driver and their insurance company If that is the case, then it is strongly recommended that you hire an attorney. In all cases consultation with an attorney is recommended. OUR OFFICE DOES ALL THE PAPERWORK FOR YOU.
Will I be required to take a medical examination?
The insurance company cannot automatically require you to be examined by a doctor; however, it can file a petition in court, for good cause, to require such an examination.
Will I be required to make a statement?
In almost every case some insurance company wants you to give a statement. We will decide if, when, and where, and then be there with you.
What if I'm in a car that doesn't have insurance?
If you are not the driver, you can fall back on your own insurance policy, or that of a family member in your household. If you don't have Kentucky automobile insurance, there is an assigned claims plan. An application would have to be submitted to Kentucky Assigned Claims. OUR OFFICE DOES ALL THE PAPERWORK FOR YOU.
What about motorcycles?
Automobile policies automatically include no-fault insurance. Motorcycle policies sometimes have no-fault which is quite expensive, and if not, you can still proceed against an at-fault driver for pain and suffering damages as well as the amount of medical bills and wage loss over $10,000. You definitely should consult an attorney to determine how to proceed in these cases.
What about deductibles?
Some no-fault policies now contain a $500 or $1000 deductible. You cannot sue for this money. This means the first $500 or $1000 of medical bills or lost wages will come out of your own pocket.
How does this affect my right against an at-fault driver?
To seek damages for pain and suffering, the requirement is that you have either $1000 in medical bills, a permanent disfigurement, a broken bone, or a permanent injury. If the case is serious enough to meet one of these three criteria, then you have a right to bring a claim against the at-fault driver. You will need a lawyer. Even if you bring a lawsuit against the at-fault driver, you still have to collect the medical bills and lost wages up to the no-fault amount from your own insurance company. Bills and wages you could have collected through no-fault insurance cannot be collected through the lawsuit from the at fault party.
Do I have to pay back my insurance company?
Kentucky no-fault insurance requires your insurance company to be paid back from the at-fault driver’s insurance. Usually, this is handled between the two insurance companies. Health, Medicare and Medicaid are different, and some must be reimbursed. In dealing with any of these issues, it pays to have the advice of counsel.
What about time limits to bring an action against an at-fault driver?
Under Kentucky law, the statute of limitations for filing a lawsuit against an at-fault driver is two (2) years from the date of the automobile accident or two (2) years from the date of the last No-fault/PIP payment, whichever is later.
However, derivative claims for loss of consortium, such as the right of a spouse or child to sue, have a one year deadline. We will help you decide whether or not to bring these claims.
In all cases where a lawsuit is contemplated consultation with an attorney is recommended in order to determine such issues as the proper court and time limits. Many cases have unique issues, and a full discussion of those issues with a lawyer can help you determine if and when any legal action should be taken.
