What Is a No-Fault Insurance Claim?
Nova Scotia uses a no-fault insurance system. This means that your insurance company will pay for your vehicle’s damage first, no matter who’s at fault in an accident. While someone will most often be deemed partially or fully at-fault, this speeds up the claims process.
During an Accident
At the time of the accident, there are things you can do to protect your best interests:
- Call 911 if necessary
- Collect contact and insurance information from the other driver
- Take pictures at the scene
- Contact your insurance company
Notifying your insurer about a possible claim is usually required under the terms of your policy. It’s important not to make any assumptions in an accident, though, and to let your insurers determine fault and start the claim process on your behalf.
What if I’m Not At-Fault?
If you think you’re not at-fault, you do not have to contact the other driver’s insurance. It is their responsibility to report the accident to their own insurer.
If your claims adjuster deems you not at-fault, Direct Compensation Property Damage will pay for damage to your vehicle (it’s built into your policy). Once payments have been made, your insurance company will communicate with the other driver’s insurer to fully settle the claim.
If the other driver’s insurer denies responsibility for the accident, you’ll need your insurer to contest the treatment and property damage expenses. If you are partially at fault, your auto insurer may have to cover collision claims for vehicle repair costs.
How Does No-Fault Insurance Benefit Me?
A main advantage of no-fault insurance systems is the amount of time it takes to resolve a claim. With no back-and-forth between insurance companies, auto damage and medical bills are paid quicker.
Generally, a no-fault accident won’t raise your insurance premium either. Let your broker know about an accident, even if you don’t know who’s at-fault—we’ll help make an already stressful situation a little easier for you.