Depending on what kind of auto insurance coverage you have, you may or may not be able to seek compensation for non-economic losses, such as pain and suffering, along with other losses. This is the difference between full tort coverage and limited tort coverage. Generally, full tort allows a victim of a car accident to pursue both economic and non-economic losses, while limited tort only allows them to pursue economic losses.
An exception does exist with limited tort coverage: if the victim suffered severe injuries or death. Additionally, whether the state operates on an at-fault or no-fault law will determine whose insurance pays for the damages. When choosing an auto insurance policy, you must consider whether full tort or limited tort coverage is right for you. The difference between the two can affect your financial recovery options if you get hurt in an accident. This is why having the right auto insurance is important when you get into an accident.
Auto Insurance in Pennsylvania
Pennsylvania is a no-fault state, which means you will have to seek compensation from your own insurance policy after an accident. According to the Pennsylvania Insurance Department (PID), there are some required forms of auto insurance in this state, which include:
Bodily Injury Liability
This coverage applies to any medical bills you or the other party experienced after the crash. The minimum amount you can carry is $15,000 for one person and $30,000 for one accident.
Medical Benefits
Medical benefits refer to the coverage you have for anyone in the accident, regardless of fault. The minimum is $5,000.
Property Damage
This type of coverage is required and pays for the damage you caused to another driver’s vehicle. The minimum required amount is $5,000.
Limited or Full Tort
This coverage allows you to sue a negligent driver. Full tort allows you to pursue both economic and non-economic damages, but it has a higher premium. Limited tort only allows you to pursue economic damages unless your injuries prove severe, cause death, or meet the other exceptions outlined in Pennsylvania General Assembly Act 6 of 1990, Title 75, Section 1705 (d).
Other forms of coverage, such as uninsured/ underinsured motorist coverage, are also available, but they are not required. This provides coverage for your losses if you were hit by an uninsured driver or a driver whose insurance policy does not cover your losses. Although having more coverage can cost more, it can come in handy when you get into an accident.
Auto Insurance in New Jersey
New Jersey is also a no-fault state, meaning you must pursue compensation through a claim with your own insurance company. In New Jersey, a basic auto insurance policy is required, but you could choose a standard policy, which is more expensive but offers more coverage. According to the State of New Jersey Department of Banking and Insurance, these are differences between the two policies:
Personal Injury Protection (PIP)
Under both the basic policy and the standard policy, $15,000 per person is awarded regardless of who caused the accident, and you can choose to carry up to $250,000 for certain injuries.
Property Damage Liability
If you caused an accident, this type of coverage applies to fix the other driver’s damaged property, like car repairs. The basic policy awards $5,000, while the standard policy ranges from $5,000 to $100,000.
Bodily Injury Protection
This covers claims and lawsuits for an accident you caused. There is a $10,000 option under the basic policy. The standard policy ranges from a minimum of $15,000 per person and $30,000 per accident up to $250,000 per person and $500,000 per accident.
Collision
This covers your expenses for the repairs to your car in an accident. It is optional under both policies.
Comprehensive
Another optional form of coverage available under both policies is comprehensive coverage. This covers your vehicle if you experience property damage due to anything other than a vehicle collision, such as flooding or colliding with an animal.
Uninsured/ Underinsured Motorist Coverage
This form of coverage comes into play when the other driver’s insurance policy does not afford you enough to cover your losses or when the other driver has no insurance. It is not offered under the basic policy. Under the standard policy, it is available up to the amount you select for your liability coverage.
Call Cordisco & Saile LLC for Help After a Car Accident
Having the right auto insurance is important when you get into an accident, and it can affect your rights to sue another driver for different forms of compensation. If you have questions about your coverage after an accident, Cordisco & Saile LLC can help.
We can investigate your accident, establish the liability of an at-fault driver, and help you with your insurance claim. Call us for a free consultation by dialing (215) 642-2335.
