Kentucky's no-fault insurance law actually has nothing to do with fault. It is a
law about how insurance benefits must be paid in the event of an automobile accident resulting in
injury. [Note: No-fault does not apply to damage to your car, which is covered under the
"collision"provision of your policy and/or the "property damage
liability"provision of the at-fault vehicle’s policy
Under this law, a person involved in an automobile accident
must look to the insurance policy on the car in which they were occupying at the time of the
accident to collect all amounts up to $10,000 in out-of-pocket losses. As a backup, anyone except
the driver of an uninsured vehicle can fall back on his or her own insurance No-fault benefits are
also known as Personal Injury Protection or PIP.
These out-of-pocket costs
include medical bills, prescriptions, a limited benefit for lost wages, funeral bills up to $1000,
and "survivor’s loss of services". The wage loss benefit on most policies is capped
at $200 per week. Added coverage (called "added PIP") is available on request. Added PIP
can also be "stacked," creating more than the "basic coverage"of $10,000. Basic
coverage up to $10,000 cannot be stacked.
If you are injured in an automobile
accident in Kentucky you must first notify your own insurance company If you were not in your
own car, then the insurance company covering the car you were in must be notified. If you were a
pedestrian, then you must contact the insurance company for the vehicle that struck you. If the
insurance company for the vehicle that struck you is unknown or if the vehicle that struck you is
not insured, then you must contact your own insurance company
insurance company responsible for your PIP has been contacted, they will require you to complete a
No-fault/PIP application. This application must be filled out, signed, and returned to the company
in order to qualify for No-fault/PIP benefits.
Additionally, you will have to
complete and sign authorizations for the insurance company to obtain your medical and payroll
records. The insurance company will have to be provided copies of itemized medical bills, pay stubs,
W-2 forms, doctors’ statements and statements from your employer. Once the insurance company
has all the required information it is required to make payment within 30 days.