While some states follow a no-fault model of insurance coverage, in which a policyholder’s auto insurance serves as their first source of compensation after a car crash, Virginia is not among them. So, is Virginia a no-fault state? The answer is no.
Virginia’s Fault System for Auto Accident Claims
In Virginia, a driver who causes an accident is financially responsible for the injuries and property damage other people suffer as a result. The driver’s liability insurance policy usually covers this financial responsibility.
Lawyers refer to this model as an at-fault system of insurance, in that the insurance policy covering the driver who’s at fault for an accident pays out injured parties’ claims. The term at-fault is a retronym meant to distinguish the ordinary tort insurance model from the newer no-fault model used by about a dozen states.
How Virginia’s At-Fault System Affects Car Accident Claims
Unlike no-fault insurance, which pays first-party benefits to the insured, Virginia’s at-fault insurance system means that standard liability policies pay only third-party benefits, meaning they don’t cover the policyholders themselves.
In other words, if you cause a car accident, your liability policy won’t pay for your injuries or property damage – only for the injuries, lost wages, and property damage you cause other people. Conversely, if you’re in an accident someone else causes, you become the third party who’s covered by their liability policy. As such, you’d file your claim against that driver’s policy to recover compensation.
In some situations, you could go through your own insurance company to pursue the money the at-fault driver owes you. Your insurer would then file a claim with the at-fault party’s insurance company and pay you a portion of what it recovers that way through a process called subrogation. However, your insurer has no motivation to secure you the full amount you’re owed, and you would have no way of knowing that your insurer actually paid you what it recovered from the other company.
Virginia’s Insurance Requirements and Optional No-Fault Coverage
To ensure drivers can pay for the accidents they cause, Virginia requires them to carry liability insurance.
As of January 1, 2025, every liability policy in Virginia must cover at least:
- $50,000 in bodily injury or death benefits per person
- $100,000 in bodily injury or death benefits per accident
- $25,000 in property damage liability per accident
However, Virginia insurers may also sell policies that provide first-party benefits similar to those available in no-fault states. One common optional extra is medical payments, or MedPay, insurance, which can help pay for your medical bills after an accident, regardless of who caused it. Insurers also offer uninsured motorist and underinsured motorist (UM/UIM) coverage to provide benefits when the at-fault motorist has no insurance or not enough to cover all your losses.
Why Hiring a Virginia Car Accident Lawyer Can Help Your Case
While insurance exists to protect people in the event of an accident, the reality is that insurance companies are for-profit businesses. If you’re hurt in an accident someone else causes, you can expect the at-fault driver’s insurer to dispute your claim, downplay your injuries, and try to pay you far less than you deserve.
Fortunately, you don’t have to go up against the insurance company alone. Instead, you can let D. Michael Mullori, Jr., Attorney at Law, fight the insurers for the maximum compensation you deserve. While you rest and recover, our team can prove the other driver’s fault, negotiate aggressively with their insurer for a fair compensation package, and take them to court if they won’t come through for you.
Protect yourself and your rights by calling (703) 762-2142 or contacting us today for a free consultation with a tough, aggressive car accident lawyer in Virginia. Our office is conveniently located at 2500 Hunter Pl, Unit 102, Woodbridge, VA 22192. Feel free to visit us for a consultation!
