Louisiana has fault-based traffic collision laws, meaning that the at-fault driver pays the victims’ damages after most car accidents. So, in most cases, if you are injured or your property suffers damages in a collision caused by another driver, you will recover compensation from that driver’s insurance company.
However, if you were uninsured or not carrying the minimum required coverage at the time of the crash, Louisiana’s “No Pay, No Play” law (RS: 32:866) reduces the compensation available to you. This law bars you from collecting the first:
- $25,000 of property damages
- $15,000 of bodily injury damages
You will have to pay those costs out of your own pocket even if the other driver was entirely at fault. Working with a personal injury law firm can help you identify and pursue the maximum payout available in your case based on the value of your economic and non-economic losses and the applicable laws.
Are There Any Exceptions to the “No Pay, No Play” Law?
There are some circumstances when this law will not affect your compensation in a traffic accident case. The “No Pay, No Play” rule does not apply when:
- All drivers involved in the crash have coverage that meets the state’s minimum insurance limits
- Your vehicle was parked when the accident occurred
- The at-fault driver is from another state that did not require liability insurance
- The driver who caused the accident was driving drunk, fled the scene, caused the crash intentionally, or committed another felony that caused the crash
The law also does not apply to a claim filed by a passenger unless they are a co-owner of the uninsured vehicle.
Your attorney may be able to prove that you meet an exception to this law and can recover the documented value of your damages through an insurance settlement or at trial.
For a free legal consultation, call (337) 777-7777
Do Other States Have Laws Similar to Louisiana’s “No Pay, No Play” Law?
Besides Louisiana, ten other states have a law similar to the “No Pay, No Play” law. However, there is no state with the same limits on recovery that Louisiana puts in place.
In each of those other ten states, the law only applies to non-economic damages, covering the victim’s intangible losses such as pain and suffering. Louisiana is the only state where the statute applies to economic damages, including vehicle repairs and healthcare bills.
This could prevent you from seeking and recovering the money you need to pay bills, repair your vehicle, and cover other financial impacts of the crash. This makes the stakes of not having insurance even greater in Louisiana than in states where the law bars recovery of a portion of non-economic damages.
What Are the Minimum Auto Insurance Requirements in Louisiana?
The minimum liability car insurance requirements in Louisiana are as follows:
- $15,000 per person for bodily injury liability
- $30,000 per accident for bodily injury liability
- $25,000 for property damage liability
These are the policies the state requires all drivers to carry. They are mandatory coverages that protect victims of an accident you cause. You may have to pay for an accident out of your own pocket if you cause a crash and do not have this coverage.
Your insurance carrier also offers you medical payments coverage of at least $1,000 and uninsured motorist coverage of $30,000 per accident and $15,000 per person. These are first-party policies that protect your assets and wellbeing after an accident. However, these coverages are not required. You can reject these policies in writing to avoid paying for them.
A Car Accident Attorney May Be Able to Help You Maximize Your Compensation
If you were injured in a collision and are concerned about your ability to recover compensation, you should work with a car accident lawyer from our firm to learn more. Most personal injury law firms provide free case reviews that allow victims to get a better idea about the strength of their case, the steps they need to take, and how a lawyer can help.
You might only have one year to take your case to trial under CC Art. 3492, so you should connect with an attorney at our firm as soon as you can after the crash. Your lawyer will be able to review your accident and determine how the “No Pay, No Play” law could affect your payout.
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You Can Speak with a Team Member from Our Law Firm Today
If you are concerned that Louisiana’s “No Pay, No Play” law will affect your traffic accident claim, contact Laborde Earles Injury Lawyers to learn more. Our attorneys have more than 100 years of combined experience, and we will use our knowledge and resources to help you fight for the settlement or award available based on the circumstances of your crash.
Call (337) 777-7777 for a free consultation with an auto accident team member. We have someone available to discuss your case now.