In New York, no-fault insurance pays your medical bills and lost wages after a car crash no matter who caused it, up to $50,000 per person. But the same law blocks most injury lawsuits. You can step outside no-fault and sue the at-fault driver for pain and suffering only when your injury meets the serious injury threshold in Insurance Law §5102(d).
That one rule decides whether a car accident case is worth bringing at all. Here is how no-fault works, what it pays, and the exact point where New York lets you sue the driver who hit you.
Key Takeaways
- New York no-fault (Personal Injury Protection) pays up to $50,000 per person for medical bills and lost earnings, regardless of fault, under Insurance Law §5103.
- No-fault does not pay for pain and suffering. To recover that, you must sue the at-fault driver.
- You can sue only if your injury is a “serious injury” as defined in Insurance Law §5102(d).
- You have three years from the crash to file a lawsuit in most cases (CPLR §214), but no-fault benefit claims must be started within 30 days.
- A fracture, surgery, herniated disc with nerve involvement, or an injury that keeps you out for 90 of the first 180 days can all cross the threshold.
What is no-fault insurance in New York?
New York is one of about a dozen no-fault states. After a crash, your own auto policy pays first, through Personal Injury Protection, and it pays even if the other driver was entirely at fault. The trade-off is in Insurance Law §5104: in exchange for guaranteed quick payment, you give up the right to sue for most minor injuries.
No-fault covers the driver, passengers, and pedestrians hurt by the insured vehicle. It does not cover motorcyclists, a point that surprises many riders. If you were hit as a cyclist or on foot, our NYC pedestrian accident lawyers can explain which policy pays first.
How much does no-fault actually pay?
The basic no-fault benefit is $50,000 per person (Insurance Law §5102(a)). It covers reasonable medical treatment, 80% of lost wages up to $2,000 a month for up to three years, and $25 a day in other expenses such as household help or travel to doctors.
That money runs out faster than people think. A single trip to the emergency room, an MRI, and six weeks of physical therapy can consume a large share of it. When the bills pass $50,000, or when the injury is permanent, the only path to full recovery is a claim against the driver who caused the crash.
When can you sue outside no-fault?
You can sue the at-fault driver for pain and suffering only if your injury meets the serious injury threshold. This is the single biggest fight in a New York car accident case. Insurance companies routinely argue that a real injury does not qualify, because if it does not, your lawsuit is dismissed before a jury ever hears it.
Proving the threshold takes medical evidence, not just pain. That means imaging, a treating doctor’s findings, and a documented record that starts early. This is one more reason getting examined right away matters: a gap in treatment is the first thing the defense uses to claim you were never seriously hurt.
What counts as a “serious injury” under §5102(d)?
Insurance Law §5102(d) lists nine categories. An injury qualifies if it involves any one of them:
- Death, or loss of a fetus
- Dismemberment or significant disfigurement, including permanent scarring
- A bone fracture
- Permanent loss of use of a body organ, member, function, or system
- Permanent consequential limitation of a body organ or member
- Significant limitation of use of a body function or system, such as a herniated disc pressing on a nerve
- A medically determined injury that prevents you from doing your usual daily activities for at least 90 of the 180 days after the crash
The last three categories are where most disputes live. A herniated or bulging disc can qualify, but only if objective testing and a doctor connect it to a real loss of function. If you suffered a back or neck injury, our NYC spine injury lawyers know exactly what proof the threshold demands.
How long do you have to file in New York?
In most car accident cases you have three years from the date of the crash to file suit against the at-fault driver (CPLR §214(5)). No-fault benefits move much faster: you generally must notify the insurer within 30 days and submit medical bills within 45 days.
The deadline shrinks hard if a government vehicle was involved, such as a city bus or sanitation truck. Then you must file a notice of claim within 90 days under General Municipal Law §50-e, a rule we explain in our post on suing New York City after an accident.
Frequently Asked Questions
Does no-fault cover pain and suffering in New York?
No. No-fault pays medical bills and lost wages up to $50,000 under Insurance Law §5103, but not pain and suffering. You recover those damages only by suing the at-fault driver, and only if your injury meets the serious injury threshold in §5102(d).
Can I sue if my injury is “just” a herniated disc?
Often, yes. A herniated disc can satisfy the “significant limitation” or “permanent consequential limitation” categories of §5102(d), but it is not automatic. You need an MRI, a treating physician’s opinion, and proof the disc actually limits your function.
What if the crash was partly my fault?
You can still recover. New York follows pure comparative negligence under CPLR §1411, so your award is reduced by your percentage of fault but never eliminated. Even a driver found 50% at fault can collect the other half.
How long do I have to file a car accident lawsuit in New York?
Three years from the date of the accident in most cases, under CPLR §214(5). If a government vehicle was involved, you must file a notice of claim within 90 days under General Municipal Law §50-e, so those cases move far faster.
Does no-fault cover me if I was a passenger?
Yes. No-fault covers the driver, passengers, and pedestrians hurt by the insured vehicle. As a passenger you are usually covered first by the policy on the car you were riding in.
Hurt in a New York Car Accident?
If your medical bills have passed what no-fault will pay, or an insurer is telling you your injury does not qualify, that is a fight worth having. The NYC car accident lawyers at Keith D. Silverstein & Associates have recovered millions for injured New Yorkers and know how to prove the serious injury threshold. Call 212-385-1444 for a free consultation.
Keith D. Silverstein · Admitted to the New York Bar, 1987 · Read Keith’s bio
Published October 14, 2026 · Last reviewed October 2026
This article is general information about New York law, not legal advice, and does not create an attorney-client relationship. Every case is different. Attorney Advertising.
