# Car accident claims: how they work

> How a car accident claim works: fault and no-fault states, what you must prove, the evidence that counts, shared fault, policy limits and deadlines.

Canonical page: https://accidentclaimfacts.com/accidents/car-accidents/  
Last reviewed: October 29, 2026 by the Accident Claim Facts editorial team  
General information, not legal advice. Talk to a licensed attorney in your state.

## Quick answer

A car accident claim asks the driver who caused the crash, usually through their insurance company, to pay for the harm. In most states you claim against that driver's liability insurance. In the 12 no-fault states, your own personal injury protection pays first, and you can sue for pain and suffering only if the injury is serious enough. Everywhere, your share of the blame, the other driver's policy limits and the strength of your evidence shape what a claim can recover.

## Key facts

| Fact | Detail | Note |
|---|---|---|
| People injured in US crashes | 2,422,195 | NHTSA estimate, 2024 |
| Police-reported crashes | 6,180,241 | NHTSA estimate, 2024 |
| States with no-fault laws | 12 | Puerto Rico has one too |
| "Choice" no-fault states | Kentucky, New Jersey and Pennsylvania | Drivers can keep the full right to sue |
| Required injury liability per person | $15,000 to $50,000 | Pennsylvania to Maine, among states that require it |
| Adult injury filing deadline | 1 year to 6 years | Tennessee shortest; Maine among the longest |

## Fault states and no-fault states

Most states use a fault system. The driver who caused the crash is legally responsible for the losses, and their liability insurance pays your medical bills, lost income, vehicle damage and pain and suffering, up to the policy limits. Your own policy may pay some bills sooner, but the at-fault driver's insurer is the main source of money.

No-fault laws apply in 12 states: Florida, Hawaii, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, New Jersey, New York, North Dakota, Pennsylvania and Utah. In these states your own personal injury protection (PIP) pays your medical bills and some lost income, whoever caused the crash. In exchange, your right to sue the other driver for pain and suffering is limited by a serious injury threshold:

- **Verbal threshold.** The injury must fit a legal description. In Michigan, for example, a suit for pain and suffering needs death, serious impairment of body function, or permanent serious disfigurement.
- **Monetary threshold.** Medical bills must pass a dollar level, or the injury must be of a listed type. In Utah, one route is medical expenses above $3,000.

In Kentucky, New Jersey and Pennsylvania, drivers choose on their policy whether to accept the lawsuit limit or keep the full right to sue. If you live in one of these states, your policy's declarations page shows which option applies to you.

Some fault states add PIP to every policy without limiting lawsuits. Texas, for example, includes at least $2,500 of PIP unless the policyholder rejects it in writing, and you can still claim against the driver who caused the crash. The [Texas guide](https://accidentclaimfacts.com/location/texas/) has the details.

| System | Who pays your injury costs first | Can you claim pain and suffering from the other driver? |
|---|---|---|
| Fault (most states) | The at-fault driver's insurer; your medical payments coverage or health plan may pay bills sooner | Yes, reduced by your share of fault |
| Fault with add-on PIP | Your PIP, then the at-fault driver's insurer | Yes, reduced by your share of fault |
| No-fault | Your PIP, whoever caused the crash | Only if the injury passes the state's threshold |
| Choice no-fault | Depends on the option on your policy | Depends on the option you chose |

## What a negligence claim must prove

Most car accident claims are negligence claims. To recover, the injured person generally has to show four things:

- **Duty.** Every driver owes others on the road a duty to drive with reasonable care.
- **Breach.** The driver fell short of that care, for example by speeding, running a light, following too closely, texting or driving impaired.
- **Causation.** That carelessness caused the crash and your injuries. This link is called causation.
- **Damages.** You suffered real losses: medical bills, lost income, vehicle damage, pain and suffering.

> **Example:** A driver looks down at a phone and rear-ends a car stopped at a red light. Duty and breach are easy to show. The argument is usually about causation and damages: whether neck pain that began two days later came from the crash, and how much treatment it needed.

Breaking a traffic law is strong evidence of carelessness, and any ticket the officer wrote will appear in the police report. A ticket is not the final word on fault, though: insurers and courts look at all the evidence, including your own account and what witnesses saw.

Insurers rarely argue about duty. Most disputes are about breach (who had the green light) and causation (whether the injuries came from this crash). That is why evidence matters so much.

## Evidence that counts

The strongest claims are built from records made close to the time of the crash. These are the pieces adjusters look at first:

| Evidence | What it helps show |
|---|---|
| The police crash report | Drivers, insurers, witnesses, any citations and the officer's notes |
| Photos and video | Where the cars ended up, the damage, skid marks, signals and weather |
| Witness names and statements | An independent account of who caused the crash |
| Repair estimates and damage photos | Where and how hard the cars hit |
| Medical records and itemized bills | The injury, its link to the crash, and its cost |
| Proof of lost pay | Pay stubs or a note from your employer about missed days |
| Your own notes and pain journal | How the injury affects work, sleep and daily life |

Camera footage from nearby shops, homes and buses may be recorded over, so many people ask for it in the first days. In disputed cases, lawyers may also seek phone records or the data stored in a car's crash recorder. Our guide to the [first 72 hours after a car accident](https://accidentclaimfacts.com/blog/first-72-hours-after-a-car-accident/) lists what to collect at the scene.

## How shared fault changes a claim

Many crashes involve some blame on both sides. Most states use comparative negligence: your recovery is cut by your own share of fault. The states differ on where the cut-off falls:

- **51% bar:** 26 jurisdictions, including Texas and Florida, bar recovery once you are more than 50% at fault.
- **50% bar:** 10 jurisdictions bar recovery at 50% or more.
- **Pure comparative fault:** 9 jurisdictions let you recover something even if you were mostly at fault.
- **Contributory negligence:** 5 jurisdictions can bar recovery for almost any fault of your own.
- **Slight versus gross negligence:** South Dakota uses its own test.

> **Example:** A driver is found 20% at fault for going a little too fast. In most states they can still recover 80% of their proven damages. In a contributory negligence state, that same 20% can end the claim.

These rules change. In New York, for example: Since May 26, 2026, a car-crash injury plaintiff more at fault than the defendant(s) recovers nothing; wrongful death and property damage claims stay pure comparative, and suits filed before that date follow the old pure rule. Try the [fault-rule explainer](https://accidentclaimfacts.com/tools/fault-rule-explainer/) to see how your state treats a given share of blame.

## Policy limits and where the money comes from

The other driver's policy limits usually cap what their insurer will pay, however large the losses. Each state sets a minimum. Texas requires $30,000 per person and $60,000 per crash for injuries; Pennsylvania requires $15,000 and $30,000; Maine requires $50,000 and $100,000. Drivers can buy more, but the law requires only the minimum.

When your losses are larger than the other driver's coverage, there may be other sources:

- **Your own underinsured motorist coverage**, which can pay the difference up to your limits. Our guide to [uninsured driver accidents](https://accidentclaimfacts.com/accidents/uninsured-driver-accidents/) explains how it works.
- **Another responsible party**, such as an employer whose worker was driving for the job; see [company vehicle accidents](https://accidentclaimfacts.com/accidents/company-vehicle-accidents/).
- **The driver personally.** A court judgment above the policy limits is the driver's own debt, but collecting it from an individual can be hard.

If the other driver had no insurance at all, your uninsured motorist coverage is often the main source. The Insurance Information Institute estimates that 14.5% of Texas drivers were uninsured in 2023.

## Steps in a typical car accident claim

1. **Get medical care and report the crash.** Call 911 if anyone is hurt, make sure a police report is made, and get checked the same day.
2. **Tell your own insurer.** Most policies require prompt notice. Reporting a crash is not an admission of fault.
3. **Open a claim with the other driver's insurer.** Give basic facts. You generally do not have to give that insurer a recorded statement.
4. **Use your own coverage for early bills.** PIP, medical payments coverage or health insurance can pay while fault is sorted out.
5. **Build your claim file.** Keep the report, photos, witness details, records, bills and proof of lost pay in one place.
6. **Finish treatment or reach a stable point.** Claims are usually valued once doctors can say what the injury has cost and will cost.
7. **Send a demand and negotiate.** The insurer answers with an offer, and most claims settle with a signed release.
8. **File a lawsuit before the deadline if needed.** Talks with an insurer do not pause your state's filing deadline.

Our [claim process guide](https://accidentclaimfacts.com/claim-process/) walks through each stage in detail.

## Deadlines for car accident claims

Every state sets its own deadline for car-crash lawsuits. For an adult's injury claim it is 2 years in Texas, 2 years in California, 3 years in New York and only 1 year in Tennessee. A claim against a city or state agency may need a written notice much sooner; in Texas it is due within 6 months.

PIP claims on your own policy have separate deadlines, set by state law and the policy, and they can be very short. Look up your state's rules in our [state-by-state guides](https://accidentclaimfacts.com/location/).

## FAQ

### Is my state a no-fault state?

No-fault laws apply in 12 states: Florida, Hawaii, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, New Jersey, New York, North Dakota, Pennsylvania and Utah. In Kentucky, New Jersey and Pennsylvania, drivers can choose whether the lawsuit limit applies to them. Every other state uses a fault system, though some add PIP to every policy.

### Who pays my medical bills after a car accident?

At first, it is often your own coverage: PIP in no-fault and add-on states, medical payments coverage if you have it, or your health plan. The at-fault driver's insurer usually pays only when the claim settles, and anyone who already paid your bills may be repaid from that settlement.

### Do I need a police report to make a car accident claim?

Not always, but it helps. The report records the drivers, insurers, witnesses and the officer's notes while memories are fresh, and insurers read it first. Many states require a report when someone is hurt.

### Can I still recover if I was partly at fault?

In most states, yes, but your recovery is cut by your share of fault, and in many states you recover nothing once your share reaches 50% or 51%. A few places still use contributory negligence, where almost any fault can bar the claim.

### What if my damages are more than the other driver's insurance?

Check your own policy for underinsured motorist coverage, which can pay the difference. Another party, such as the driver's employer, may also share liability. A licensed attorney in your state can tell you whether anyone else could be responsible.

### How long do I have to file a car accident lawsuit?

It depends on the state: 2 years in Texas, 3 years in New York and 1 year in Tennessee for an adult's injury claim. Claims against government bodies and PIP claims can have much shorter deadlines.

## Sources

- [Cornell Law School, Legal Information Institute, Negligence](https://www.law.cornell.edu/wex/negligence) — the elements of a negligence claim
- [Insurance Information Institute, Background on: No-fault auto insurance](https://www.iii.org/article/background-on-no-fault-auto-insurance), checked October 29, 2026
- [Justia (2025 Tennessee Code), Tenn. Code Ann. § 28-3-104](https://law.justia.com/codes/tennessee/title-28/chapter-3/part-1/section-28-3-104/), checked October 29, 2026
- [Maine Legislature, 14 M.R.S. § 752](https://www.legislature.maine.gov/statutes/14/title14sec752.html), checked October 29, 2026
- [Michigan Legislature, MCL 500.3135(1)](https://www.legislature.mi.gov/Laws/MCL?objectName=mcl-500-3135), checked October 29, 2026
- [Utah Legislature, Utah Code § 31A-22-309(1)(a)](https://le.utah.gov/xcode/Title31A/Chapter22/C31A-22-S309_2026050620260506.html), checked October 29, 2026
- [New York State Senate, CPLR 1411](https://www.nysenate.gov/legislation/laws/CVP/1411), checked October 29, 2026
- [Texas Legislature, Civil Practice and Remedies Code § 16.003(a)](https://statutes.capitol.texas.gov/Docs/CP/htm/CP.16.htm), checked October 29, 2026
- [California Legislature, Code of Civil Procedure § 335.1](https://law.justia.com/codes/california/code-ccp/part-2/title-2/chapter-3/section-335-1), checked October 29, 2026
- [New York State Senate, CPLR 214](https://www.nysenate.gov/legislation/laws/CVP/214), checked October 29, 2026
- [Texas Legislature, Civil Practice and Remedies Code § 101.101(a)](https://statutes.capitol.texas.gov/Docs/CP/htm/CP.101.htm), checked October 29, 2026
- [Pennsylvania Insurance Department, Auto Insurance](https://www.pa.gov/agencies/insurance/consumer-help-center/learn-about-insurance/auto-insurance), checked October 28, 2026
- [Maine Bureau of Insurance, Insurance Required by Law](https://www.maine.gov/pfr/insurance/consumers/auto-insurance/insurance-required-by-law), checked October 28, 2026
- [Texas Legislature, Insurance Code chapter 1952 (1952.101, 1952.152, 1952.153)](https://tcss.legis.texas.gov/resources/IN/htm/IN.1952.htm), checked October 28, 2026
- [Insurance Information Institute, Facts + Statistics: Uninsured motorists](https://www.iii.org/fact-statistic/facts-statistics-uninsured-motorists), checked October 28, 2026
- [NHTSA, Overview of Motor Vehicle Traffic Crashes in 2024 (DOT HS 813 791)](https://crashstats.nhtsa.dot.gov/Api/Public/ViewPublication/813791), checked April 1, 2026
- [Texas Department of Insurance, Auto insurance guide](https://www.tdi.texas.gov/pubs/consumer/cb020.html), checked December 11, 2025