Easy answer- No. However, that doesn't make a very long blog or helpful blog post ;)
So, in this blog you'll find a sample definition of no-fault auto insurance, including a few no-fault states and information about what type of state Ohio is for auto insurance (hint: comparative negligence is the answer here). Hopefully these explanations will help you understand the difference between the two and especially how Ohio operates in regards to fault and claims payment for an auto accident.
What is No Fault Insurance?
Disclaimer: since Ohio is NOT a No-Fault state, we don't have to deal with this situation. Therefore we don't have the inside track on exactly how it all works. However, I can offer some basic definitions here so you can see the difference between the two.
A very basic definition of no-fault insurance is this: any auto insurance that allows policyholders to recover financial losses from their own insurance company, regardless of fault. State law would spell out exactly how this works. In its strictest form no-fault applies only to state laws that both provide for the payment of no-fault first-party benefits and restrict the right to sue, the so-called “limited tort” option. The first-party (policyholder) benefit coverage is known as personal injury protection (PIP).
Some of our neighbors are no-fault states, including Michigan, Pennsylvania, and Kentucky.
So What is Comparative Negligence and How Does That Affect Auto Insurance?
Ohio is a comparative negligence state. Negligence is a legal term that means the failure to exercise the degree of care required of a reasonable and prudent person in any given circumstance resulting in injury or damage to another. Negligence forms the basis for the majority of liability insurance claims. Whoever's negligent is the party that pays.
Comparative negligence provides for you and the other driver to share the cost of damages from an accident in proportion to your share of negligence. You can recover your damages, minus the percent caused by your own negligence is it's judged to be 50 percent or less. If you're more than 50% negligent, you may not recover any losses from the other driver. Here's an example of how it works:
You're involved in an auto accident and the insurance company determines you were 20% at fault. You would recover 80% of your damages under comparative negligence. Let's use actual numbers to take it further........
Total damage for the accident was $40,000. Your 20% portion is $8,000. You would recover 80%, which in this case is $40,000 - $,8000 or $32,000.
Who decides your share of negligence?
The insurance company does based on a police report, eyewitness statements and other means they have at their disposal.
And what if I disagree?
The case may have to go to court and the final decision is made by a judge or jury. Many times filing the claim with your own company helps speed up repairs, plus allows your company to take over negotiations with the other person, using the technique of subrogation.
Want even more detailed information about auto insurance claims? Download our FREE Report today- What You Need to Do Before and After Filing an Auto Insurance Claim to Make Sure Your Claim is Paid in Full and Promptly.
You can also take a look at how we help you through the insurance claims process- we're with you every step of the way if you need us!
Whether no-fault or not, it's important to know how your state responds to auto accidents. Ohio uses comparative negligence to help determine how claims are ultimately paid.
You need a trusted professional on your side, helping you understand complicated insurance concepts so you can make better decisions. If you'd like to talk to one of our trusted pros, give us a call at (937) 592-4871 or fill out our Ohio auto insurance quote request form and we'll be happy to help you!