Each state has specific laws regarding car insurance. One that is relatively unique in Louisiana is the “no pay, no play” rule, La. R.S. 32:866. This law limits the amount of damages an uninsured driver can claim after a collision with another motorist in Louisiana.
Specifically, drivers without minimum insurance coverage cannot collect the first $15,000 in damages for bodily injuries or the first $25,000 for property damage. However, there are three limitations to Louisiana’s no pay, no play law. These include when:
- The car was parked.
- The accident involved drugs or alcohol.
- The driver is from out of state, in some cases.
Three Limitations to Louisiana’s No Pay, No Play Law
In most states, driving without some form of liability insurance is illegal; however, Louisiana takes this policy a step further. Under most circumstances, an uninsured motorist will have a significant portion of their financial recovery barred following an accident in Louisiana.
Still, this limitation may not apply in some situations, allowing an uninsured driver to recover compensation beginning with the first dollar in losses.
When the Car Was Parked
If the uninsured vehicle was parked and another driver collided with it, the car owner can seek damages based on their total losses. This recovery may include bodily injury coverage if they were hurt and property damage coverage to pay for vehicle repairs.
Accidents Involving Drugs or Alcohol
Some drivers put others at risk by drinking alcohol or using drugs before driving. If the at-fault driver was under the influence of alcohol or drugs at the time of the crash, the no pay, no play law does not apply.
As an accident victim, you can file a claim for damages against an intoxicated driver even if you do not have the required insurance coverage. This exception also applies when drivers illegally leave the scene of an accident – if the police identify the hit-and-run driver.
Some Drivers from Out of State
While rare, some states do not require drivers to have liability auto insurance coverage. As such, if an uninsured driver is from one of these states and gets hit by another motorist in Louisiana, the no pay, no play law will not apply.
The law also does not apply when the claimant was a passenger in the crash, unless they owned the uninsured car.
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Only the State Minimum Coverage Is Required
You can avoid worrying about this law simply by meeting the minimum insurance requirements in Louisiana. According to the Louisiana Department of Insurance (LDI), drivers do not need full-coverage insurance to avoid penalties—the mandatory minimum liability coverage is sufficient.
The state requires a 15/30/25 policy, which provides the following coverage:
- $15,000 for injuries per party
- $30,000 for injuries per accident
- $25,000 for property damages
It is the driver’s responsibility to make sure their liability insurance meets the state’s minimum standards. If so, they can bring a claim against a negligent driver when a crash occurs and potentially recover compensation for their injuries, property damages, and more.
What to Do in an Uninsured Motorist Crash in Louisiana
If an uninsured or underinsured motorist hit you in Louisiana, there are other avenues for seeking compensation. For example, you can file a claim under your uninsured motorist (UM) coverage in Louisiana. This type of policy is optional and comes in many levels – you may have coverage for property damage and financial costs related to your injuries.
If You Were Uninsured at the Time of the Collision
Recovering compensation in a case where the no pay, no play law could apply requires you to prove that you have the minimum insurance coverage or qualify for an exception. Working with a Louisiana car accident lawyer can help in either scenario.
For example, your legal team can collect evidence to prove that you meet an exception to this law and seek the documented value of your damages through an insurance claim or lawsuit.
They can develop a strong claim by gathering additional evidence and working with experts to show:
- The other party’s duty of care toward you and how they failed to fulfill it.
- How their actions caused or contributed to the collision
- How much your claim is worth based on the value of your economic and non-economic losses
You should not need to pay upfront fees to retain a car accident attorney. Personal injury law firms generally operate based on contingency fees, meaning they front the costs to investigate and pursue your case. They will get paid out of the compensation they recover for you.
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Reach Out to Morris Bart, LLC Today for Your Free Consultation
A car accident attorney from the Morris Bart law firm is here for you if you have questions or concerns about Louisiana’s auto insurance laws. We can explain your rights and options for recovering damages after a crash.
Let us review your case for free and discuss your next steps. Call our office today at (800) 537-8185 to get started with a complimentary consultation.
Questions?Call 800-537-8185
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