Understanding No Fault Personal Injury Coverage in Kentucky
Written by Cooper and Friedman on November 29, 2018
What is No Fault Personal Injury Coverage?
No fault personal injury coverage pertains to a specific portion of one’s auto insurance policy. Kentucky is one of 12 states that has a no fault insurance system and car accident policy.
This means that every licensed Kentucky driver except for motorcyclists, is required to have what is referred to as Personal Injury Protection (PIP) within their auto policy. Kentucky drivers must also have bodily injury liability insurance as well.
That way, when an auto accident occurs, each individual’s car insurance company will automatically cover certain costs each policyholder incurs without debating whose fault the accident was first. This can prevent bills from piling up while a fight to determine who is liable ensues.
Depending on one’s policy, medical bills and lost wages coverage is capped at a specific amount whether they are or are not at fault for the incident. Additionally, under the no fault system, one cannot often sue the at fault party for additional damages such as pain or suffering.
Exceptions to the No Fault System
While Kentucky’s no fault system means that drivers wave their right to sue and be sued, there are of course exceptions. All 12 no fault states have a threshold that if exceeded allow injured parties to pursue legal action in order to receive additional compensation from the at fault driver.
In Kentucky, in order to sue the at fault party, one must have at least $1,000 in medical expenses, a fractured or broken bone, a permanent disfigurement or injury, or have died as a result of the accident.
Another possible course of action to pursuing a car accident lawsuit is if one opts out of the no fault system. This can be done by filling out the Kentucky No Fault Rejection Form before coverage becomes effective. However, this means one is just as free to be sued as they are to sue, and any potential PIP coverage is rejected. Additionally, just because one rejects their PIP coverage doesn’t remove them from the obligation to pay for any of their passengers’ or pedestrians’ “guest PIP coverage” if they were involved in the accident as well.
Other scenarios where PIP doesn’t apply include when the owner of the vehicle doesn’t have any insurance at all, or if the accident was work related and or involved a motorcycle.
While no one expects to be involved in a car accident, they are becoming more and more common every day. Therefore, it is highly recommended that one purchases adequate car insurance coverage compliant with Kentucky’s no fault personal injury law in order to fully protect oneself from incurring costs.
However, if you feel you have not been appropriately compensated for your injuries or lost wages, consult with an experienced attorney who can properly evaluate your case in a timely manner. In the meantime, PIP can provide immediate coverage.
If you or someone you love is involved in a car accident, you have the right to pursue legal council. Call the Cooper & Friedman Law Office in Louisville, Kentucky at 502-459-7555 today for a free case consultation. Our attorneys have been fighting for the rights of car accident victims in Kentucky and Indiana since 1991.