Rob King & Associates, Trial Lawyers | February 23, 2025 | Personal Injury
No, Indiana is not a no-fault state. Instead, Indiana operates under an “at-fault” system for car accidents, aligning with the majority of states. Under this system, the driver responsible for causing the accident is liable for the resulting damages. Understanding the distinction between Indiana’s at-fault system and the no-fault system, used by about a dozen states—including neighboring Kentucky—is essential for navigating insurance claims and legal processes effectively. If you’ve been involved in an accident, it’s crucial to know how Indiana’s laws may impact your rights and responsibilities.
The At-Fault System
Under the at-fault system, you need to establish liability for the accident. Of course, liability is often in dispute. Every driver with a car registered in Indiana must purchase the following minimum liability insurance coverage:
- $25,000 per person in bodily injury liability insurance, up to $50,000 in total coverage per accident. That means if three or more people suffer an injury in the same accident, they can’t all get $25,000 in coverage.
- $25,000 in property damage coverage.
Industry insiders refer to this as “25/50/25” insurance. Indiana also requires motorists to purchase uninsured and underinsured motorist insurance unless they reject it in writing. The coverage limit for uninsured motorist insurance is also “25/50/25.”
The No-Fault System
Under the no-fault system, every driver with a car registered within the state must purchase a certain amount of personal injury protection (PIP) insurance. If you suffer an injury accident, your own PIP will pay for your physical injuries. You usually cannot sue the at-fault driver, and you cannot seek non-economic damages. Nevertheless, property damage claims apply an at-fault system that allows you to seek compensation from the at-fault driver.
PIP policy limits vary by state, but they are typically low. In view of this, what happens in a no-fault state when someone suffers a serious injury? Every no-fault state includes provisions in its law that allow escape from the no-fault system in cases of severe injury or wrongful death.
Once you escape the no-fault system, you can go ahead and file a third-party liability claim against the at-fault driver’s insurance company. Your other option is to file a lawsuit directly against the at-fault driver.
Determining Liability
When a car accident occurs, liability is frequently in dispute. Here are some of the ways you can prove that you were not at fault:
- A copy of the police report.
- Eyewitness interviews.
- Expert witness testimony (in a high–value case).
- Photographs of the scene of the accident, including skid marks and the relative positions of the cars on (or off) the road.
- CCTV footage of, say, the accident happened in a shopping mall parking lot.
- Vehicle damage that supports your version of events.
The more aggressively you seek evidence, the better your chances of winning your case.
Your Options
In a no-fault state, you would contact your own PIP provider to pay your injury-related expenses, such as medical bills and lost work time. In an at-fault state, you can choose to:
- File a third-party claim against the at-fault driver’s liability insurance policy. This is what most injury victims choose to do since private settlement is usually the cheapest and easiest way to resolve a claim.
- Sue the at-fault driver in court. This won’t necessarily result in a trial–in fact, it usually doesn’t. Most of the time, the parties prefer to settle their claim even in the midst of a court battle.
Nevertheless, sometimes car accident claims go all the way to trial, at which point a jury resolves the claim.
Indiana’s Modified Comparative Fault System
It is often the case that more than one party is at fault for a car accident. In unusual cases ( freeway pileups, for example), three or more parties are at fault for the accident. Indiana follows a “51% bar” modified comparative fault system whereby any party that is more than 50% responsible for an accident receives no compensation, no matter how serious their damages are.
Otherwise, a court will deduct an amount from your damages that mirrors your percentage of fault. If you were 15% to blame for the accident, for example, you would lose 15% of your damages. This principle tends to apply in settlement negotiations because expectations about what a court might do at trial usually govern the bargaining process.
Do You Need an Indiana Car Accident Lawyer?
If you have sustained serious injuries, significant property damage, or if liability is in dispute, it is highly advisable to consult with an experienced car accident attorney. Retaining legal representation from a reputable firm like Rob King & Associates, Trial Lawyers, offers a distinct advantage. As skilled trial lawyers, we have a proven track record of successfully litigating cases in court. Insurance companies are aware of our ability to take cases to trial, and this often leads them to offer more favorable settlements to avoid the risk of a trial.
Contact our Indianapolis Personal Injury Lawyers from Rob King & Associates, Trial Lawyers for Help Today
For more information, please contact Rob King & Associates, Trial Lawyers to schedule a free consultation with a personal injury lawyer in Indianapolis, Indiana, today.
We proudly serve Marion County and its surrounding areas.
Rob King & Associates, Trial Lawyers – Indianapolis Office
22 E Washington St #310
Indianapolis, IN 46204
(317) 916-0000
