One of the most common questions that come to mind regarding California is whether it is a no-fault state or an at-fault state. Both are opposite of each other and affect the outcome of an accident.
In the no-fault state, all drivers included in the accident have to pay for their medical expenses and bear the loss with PIP insurance. Meanwhile, in the at-fault state, the responsible driver is bound to pay compensation (medical and property damage) for the loss of the other driver.
To help you understand the laws better, we’ll explain what a no-fault state is and whether Northern California is a no-fault state. You’ll also get answers about the importance of liability coverage insurance and its difference from PIP insurance.
What’s A No-Fault State?
A no-fault state means a state where all drivers included in the car accident will bear their loss of an accident. The drivers will contact their PIP insurance provider, and they’ll pay for the medical expenses of their respective clients.
You can’t sue the other driver to pay for the compensation unless the financial loss crosses a certain limit. This law is currently implemented in twelve states of the United States. In these states, PIP (Personal Injury Protection) insurance is required for every driver.
The benefit of PIP insurance is that the driver gets the insurance money more easily than the at-fault state because insurers don’t investigate who was at fault for the accident. This leads to quicker and more efficient compensation for accident-related expenses.
Is California A No-Fault State?
No, California isn’t a no-fault state. Instead, it’s an at-fault state, which means if you’ve proven responsible for the accident, you must pay the compensation for medical bills, injury compensation, and property damage for the other driver.
Remember, there will be a proper investigation into which driver was responsible for the accident. The individual that’s found responsible will pay the compensation with the liability coverage insurance.
Liability coverage insurance is a must for drivers in California. This type of insurance covers the expenses of injuries and damage you cause to other drivers. It’s mandatory for drivers to meet the minimum liability insurance requirements.
- $15,000 in case of the death or injury of one person.
- $30,000 for the injury or death of more than one person.
- $5000 for property damage.https://norcalattorney.com/