No-Faultt Auto Insurance – Find Discount Auto Insurance Rates

Discount Auto Insurance Rates in 3 Easy Steps

Enter your zip code, click on a few providers and compare discount auto insurance rates now. The insurance purchaser is required to choose one of three compulsory options. If he does not, he is not allowed to register his automobile. The first provides for coverage similar to what was formerly known as collision insurance. The purchaser of this option is given protection against all damage done to his car without regard to fault.

Should he run off the road and strike a stone wall, he is still paid for the damages to his car. He is also given total immunity from suits brought against him by other drivers who are covered by Massachusetts no-fault. In addition, he gets protection against suits when he is out of state and subject to the liability laws of other jurisdictions. One feature of this option is that automobiles are rated for premiums with respect to their damage potential. Since an expensive car is a greater risk, owners of late model automobiles can expect healthy rate increases for this kind of coverage.

The second option provides coverage that is comparable to property damage insurance available under the old system and designed to repair damage caused by the insured to other automobiles. The purchaser of the second option now must make a claim to his own company, but he can recover only when he can show that the other driver was at fault. If the insured was the cause, although he buys this option, he cannot recover.

Thus, for example, if two cars collide at an intersection and the insured is judged to be 100 per cent responsible, his own insurance company, acting under the second option, would not be liable for any payment. If the insured were found to be 25 per cent responsible under the Massachusetts comparative negligence statute, the insured would receive 75 per cent of his total damage; if damage to the car was $800, the company would offer $600.

Any disagreements between company and insured would be settled in court. It is this second option that will inevitably produce a torrent of litigation because it is sure that the insureds and the insurers will disagree as to the amount of payment owed.

The final option provides no coverage whatsoever to pay for the damage caused to the insured’s own automobile, through either fault or no-fault. All it does is to protect the insured against potential lawsuits brought against him in those rare situations when a tort action for property damage is still allowed. The coverage offered by this option applies only to out-of-state accidents, accidents within Massachusetts involving property other than damage to automobiles, and accidents within Massachusetts with out-of-state cars or governmental cars, which do not have to carry no-fault property damage. These cases are few and far between.


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