Legal Question in Personal Injury in New York

New York No-Fault Law Explained

New York�s automobile No-Fault Law was enacted to ensure that insurance companies would pay for legitimate accident related medical expenses, lost earnings and incidental costs, regardless of who was to blame. The purpose behind the law was to speed compensation without the necessity of long, drawn out litigation over fault and amounts owed.

The way No-Fault is designed to work in New York is that, regardless of fault, an insurance company is required to pay drivers, passengers and pedestrians up to $50,000.00 for the legitimate economic losses. But in 2002, a revised New York State insurance regulation set several traps to which the consumers of New York can easily fall prey.

There are three important steps to follow in order to increase your chances that the insurance company will pay No-Fault benefits in the manner that the No-Fault law was designed:

1. In order to qualify for No-Fault benefits, you must file a No-Fault Application (form NF-2) with the insurance carrier of the car you were in when the accident took place. If you were a pedestrian, you should send the form to both the insurance carrier of the car that hit you and the insurance carrier of a car that you own (if you own a car).

There are serious time constraints, so, if you are in an accident, it is especially important not to delay filing the No-Fault Application. You have thirty (30) days from the date of the accident to file the form.

2. If you cannot determine the insurance company on time, you should, at a minimum, send a notice right away to the New York State Motor Vehicle Accident Indemnification Corporation (MVAIC). MVAIC is a state run agency which steps into the shoes of the insurance company where there is no insurance. The consumer should not be lulled into a false sense of security, however. MVAIC does not pay claims lightly. It is a state agency and is full of bureaucratic paperwork.

3. If you are claiming lost earnings and out of pocket expenses, you will need to take additional steps to ensure payment of your claim. First, for lost earnings, you must make sure that your employer sends in proof of your wages, disability and loss of income within ninety (90) days of the accident. You may need to be on top of your boss to get these documents filed. Remember, under No-Fault you are entitled to receive 80% of your accident related lost earnings up to $2000 a month paid over a maximum of three years.

Your lawyer will be able to help guide you through the New York State No Fault process. If you have any questions, you may always call The Law Offices of Jonathan B. Nelson, PC at (212) 791-0441 or 1-888-9-ATTORNEY. We are here to help. �Let our family help your family.�