One of the basic principles of the no-fault law is to provide for a prompt and reliable source of payment for medical bills and lost wages to an injured person.  Often, a no-fault claim is enough.  An injured person will receive his or her lost wages and have medical bills paid.  Just as often, however, the no-fault law does not begin to cover all of a significant hospitalization or an extensive period of lost income.  Also, the law makes no provision whatsoever to compensate an injured person for his or her pain, suffering, or loss of enjoyment of life.

The great compromise in the no-fault law is that your medicals and a percentage of your lost wages will be covered automatically, but you cannot sue the at-fault driver for anything more, like pain and suffering or excessive medical bills and lost wages, unless you have a serious injury.  In this way, the no-fault law actually can prohibit you from making a claim against the at-fault driver.

In exchange for the relatively quick and easy payment of medical bills and a portion of your lost wages by your insurance company, the law limits lawsuits against the other driver and his or her insurance company.  You may sue the at-fault driver if – and only if – you can demonstrate that you have suffered a serious injury as defined by the law.  The law defines serious injury as follows:

a.  Death;
b.  Dismemberment;
c.  Significant disfigurement;
d.  Fracture;
e.  Loss of a fetus;
f.  Permanent loss of a body organ, member, function, or system;
g.  Permanent consequential limitation of use of a body organ or member;
h.  Significant limitation of use of a body function or system; or
i.  Inability to perform normal activities for more than 60 days.

An injured person must meet one of the categories.  Some of them are self-explanatory and easy to apply.  However, what is "significant" or "consquential" often is difficult to determine and will depend upon the individual facts of your case.  In fact, a jury of your peers may have to make that determination if the insurance company and your attorney cannot reach an agreement.

Attorneys who handle automobile accident cases should be familiar with the no-fault law as it works to pay benefits to an injured person and how to prepare to prove at trial that the injury is "serious."