What Happens to Your Personal Injury Claim If the Other Driver Has No Insurance?

Personal Injury Claims Against Uninsured Drivers in New York

Getting hurt in a car accident is scary enough. But learning the other driver has no insurance? That adds another layer of stress. You might wonder how you’ll cover your medical bills, or whether you have any chance of recovering your lost income. These are valid concerns. And they’re more common than you might think, especially in New York State.

At Horn Wright, LLP, we understand how overwhelming this situation can feel. Our personal injury attorneys represent New Yorkers across the state in claims involving uninsured or underinsured drivers. If you’re feeling confused or frustrated about what happens next, we’re here to take that weight off your shoulders.

Understand New York’s No-Fault Insurance System

In New York, auto insurance works differently than in many other states. As a “no-fault” state, New York requires all drivers to carry Personal Injury Protection, or PIP. This coverage kicks in no matter who caused the accident.

If you’re injured in a crash, your PIP benefits will cover:

• Up to $50,000 in medical expenses
• A portion of your lost wages, typically up to 80%, capped at $2,000/month for three years
• Reasonable out-of-pocket costs related to your injury, like transportation to medical appointments

This means your own insurer becomes the first source of support, not the other driver. That holds true even when the at-fault driver has no insurance at all. But it only goes so far. If your injuries are serious or your costs climb beyond your PIP limits, you may need to look elsewhere for compensation.

Know Why Uninsured Drivers Complicate Injury Claims

When another driver causes an accident, their liability insurance usually pays for your pain and suffering, as well as any costs beyond your PIP coverage. But if they don’t have any coverage, you can’t file a liability claim against their insurer. That route doesn’t exist.

This lack of a third-party insurer creates problems. You might have:

• No direct source of reimbursement for out-of-pocket costs
• No way to pursue non-economic damages like emotional distress
• Extra hurdles to get the full compensation you need

You can still seek compensation through your own insurance or, in limited cases, through a lawsuit. But it takes more time and effort. And in New York, there are strict deadlines and documentation requirements you must meet.

Check Your Own Uninsured Motorist (UM) Coverage

This is where Uninsured Motorist coverage comes in. Every New York auto insurance policy includes at least $25,000 per person in UM bodily injury coverage. That policy protects you, your passengers, and even pedestrians if you’re hit by a driver who doesn’t have valid insurance.

UM coverage applies in two main situations:

1. You were injured by a driver with no active insurance policy
2. You were hurt in a hit-and-run where the other driver can’t be identified

You can find your UM limits by checking the declarations page of your auto policy. Many drivers carry more than the minimum, but most don’t realize it until they need it. This coverage can be a critical safety net when no other options exist.

File a Claim Through Your Own UM Policy

If you were injured by an uninsured driver in New York, you can file a UM claim through your own auto insurer. But the process isn’t always smooth. Insurers want proof that the other driver truly lacks coverage. That means you’ll need to gather documents and follow specific procedures.

Here are the key steps:

• Notify your insurance company promptly after the accident
• Submit any police reports and accident documentation
• Provide a written denial of coverage from the other driver’s insurer, if available
• In hit-and-run cases, file a report with the police and the New York State DMV within 24 hours (form MV-104)

Timing matters. If you don’t notify your insurer within 90 days of a hit-and-run, they may deny your UM claim. Even when coverage applies, you might face delays, lowball settlement offers, or disputes over medical documentation.

Prove That the Other Driver Lacked Insurance

To activate your UM coverage, your insurer needs confirmation that the at-fault driver was uninsured at the time of the crash. That often involves:

• Getting a formal denial letter from the other driver’s insurance company
• Filing DMV Form MV-104 
• Including the police report that shows no insurance card was produced

Without this proof, your insurer may delay or deny your UM claim. That’s why documentation is so important. Make sure to request copies of all reports and keep everything organized.

Consider Underinsured Motorist (UIM) Coverage If Damages Exceed Limits

Sometimes the at-fault driver has insurance, but not nearly enough to cover your losses. That’s where Underinsured Motorist coverage comes in. In New York, you can opt in to Supplementary Underinsured Motorist benefits. These benefits help cover the gap between the other driver’s policy and your actual damages.

Here’s how this coverage works:

• The other driver has $25,000 in liability coverage
• You have $100,000 in SUM benefits
• You can potentially recover the $75,000 difference, after exhausting the other policy

This isn’t automatic. You need to prove the other driver’s limits, show your damages exceed them, and then work through the SUM process. But it can be a vital path forward when medical bills and lost wages pile up.

Explore Legal Options for Suing an Uninsured Driver in New York

If you have serious injuries and the other driver lacks insurance, you may be able to sue them directly. But this route has challenges. Most uninsured drivers don’t have the assets to pay a court judgment, even if you win.

Still, legal action can be worth exploring if:

• Your injuries fall outside New York’s no-fault threshold
• The other driver has income, property, or assets
• You want to preserve your rights before the statute of limitations expires

New York defines a "serious injury" as one that involves a broken bone, significant disfigurement, permanent limitation of use of a body part, or a disability that lasts at least 90 of the 180 days following the crash. Meeting these criteria allows you to seek pain and suffering damages, even when the other driver is uninsured.

Understand How No-Fault Limits What You Can Sue For

PIP covers many expenses, but it doesn’t pay for everything, and it limits your ability to file a lawsuit unless your injuries meet the serious injury threshold. No-fault benefits don’t cover long-term pain and suffering, emotional trauma, or loss of enjoyment of life. If your injuries qualify as serious under New York law, you can step outside the no-fault system and pursue a personal injury claim to seek the full compensation you deserve.

Document Everything for Your UM or UIM Claim

Strong documentation can make or break your uninsured or underinsured motorist claim. From day one, keep a detailed file. That way, when your insurer asks for evidence, you’re not scrambling.

Helpful records include:

• Photos of the accident scene and vehicle damage
• Medical records and treatment summaries
• Wage loss verification from your employer
• DMV Form MV-104, required in many New York claims
• Copies of police reports and insurance correspondence

The more organized your file, the faster your claim can move forward. And if your insurer drags their feet, your documentation can support a formal demand or even legal action.

Know When to Speak With a New York Personal Injury Lawyer

Uninsured and underinsured motorist claims often sound simple on paper. But in real life, they get complicated quickly. Your insurer may undervalue your injuries, delay the process, or reject your documentation.

If any of these apply, it’s time to talk to a lawyer:

• You’re seriously injured and your costs exceed $50,000
• You’re getting pushback from your own insurer
• You’re unsure how to prove the other driver lacked insurance
• You need help calculating future damages or lost earning capacity

An experienced New York personal injury attorney can step in, review your coverage, and fight to secure the compensation you’re entitled to.

What to Do After an Accident with an Uninsured Driver

At Horn Wright, LLP, we help clients across New York State pursue claims involving uninsured and underinsured drivers, guiding you whether you’re filing a UM claim, seeking SUM benefits, or unsure where to begin. Our attorneys handle the paperwork, respond to delays, and build strong cases so you can focus on healing. Start by contacting our team.