Is Kentucky a No-Fault State?

Rear end collision between two cars

While insurance laws and regulations may not be at the top of your list of interesting subjects, they are important to understand, nonetheless, as they can have important impacts on you and your rights. This is particularly true if you ever find yourself as an injury victim in a car accident. A car accident can have profound financial effects that many struggle with in addition to working hard to cope with their injuries. For starters, it is a good idea to learn more about whether or not your state is a “no-fault” state.

Is Kentucky a No-Fault State?

In a no-fault state, drivers are required to carry no-fault insurance, otherwise known as “personal injury protection” or “PIP” coverage. This coverage will pay out if a person is injured in a car accident regardless of who was at fault. Accident injury victims are required to first file a claim with their own insurance company, their PIP carrier, in order to get access to compensation for things such as medical expenses and other costs associated with the accident.

Kentucky is a no-fault state. More specifically, however, Kentucky is a “choice no-fault” state. This means that drivers have the option to reject PIP coverage. In order to opt for this, however, the driver must file a No-Fault Rejection Form with the Kentucky Department of Insurance Office. Additionally, those who choose to decline PIP coverage are still required to carry insurance with the following minimums:

  • $25,000 per person/$50,000 per accident in Bodily Injury (BI) liability coverage
  • $10,000 per accident in property damage liability coverage
  • $60,000 combined liability coverage
  • Uninsured Motorist (UM) coverage equal to minimum BI limits

Without the explicit rejection of PIP coverage, Kentucky drivers are required to carry PIP coverage that will pay up to $10,000 should injuries result from an accident. There is, of course, the option for higher coverage limits in exchange for paying higher premiums. One of the biggest reasons no-fault is favored in some states is the fact that the no-fault system can significantly speed up an injured person’s access to financial compensation in the wake of an accident. Because there is no need to prove and process liability, the covered individual need only prove that they were injured in an accident to get access to benefits.

Another important aspect of no-fault laws in Kentucky is the fact that those who opt for PIP coverage must waive their right to sue the at-fault driver in an accident unless certain thresholds are met. A driver cannot bring a claim against the at-fault driver unless the accident caused over $1,000 in medical expenses or if the injury victim suffered from at least one of the following:

  • Permanent disfigurement
  • Weight-bearing bone fracture
  • Compound, compressed, or displace fracture of any bone
  • Permanent injury
  • Permanent loss of a body function

Personal Injury Attorneys

Being in a car accident can leave you overwhelmed and in pain. On top of this, financial difficulty can quickly escalate as medical bills roll in. Talk to the team at Dickman Law about your options for getting compensated for your accident-related losses. Contact us today.

Posted in: Car Accidents