North Dakota Car Accident Compensation Laws

Figuring out what to do after a North Dakota car accident can be overwhelming, especially if you were injured. Whether the wreck was in Fargo, Bismarck, or anywhere else in the state, navigating North Dakota’s car accident compensation laws can be tricky. However, it’s key to protecting your rights and recovering for your losses.

If you’ve recently been in an accident, consider speaking with a car accident attorney. They can help you understand your options and responsibilities under North Dakota’s modified no-fault system.

In this article, we review how parties are compensated for various losses from a North Dakota auto accident. We’ll also cover some of the main legal concepts involved and help you avoid common mistakes people make in the process.

Let’s start with what to do immediately after a collision.

After An Accident

One of the first things you should do after a car accident is seek medical attention. Car accident injuries don’t always show up right away.

Even if you think you’re uninjured, an early examination by a healthcare provider is a good idea. It creates a medical record linking your potential injuries to the accident. This can be critical for recovering costs of medical bills and other expenses later.

Auto Insurance Claims

You’ll need to file a claim with your insurance soon after the accident. If possible, consider speaking with a car accident attorney first. They can help you avoid traps that people often fall into when dealing with insurance companies.

Car insurance companies work hard to pay you the minimum amount necessary to close your claim. To that end, they employ various strategies when dealing with claimants. An attorney well-versed in these practices can help protect you from saying things that might hurt your claim.

North Dakota’s No-Fault Insurance System

North Dakota is a “no-fault” state. Regardless of who’s at fault, each driver’s own insurance company first covers their injury-related losses through their personal Injury protection (PIP) policy.

PIP coverage pays for initial medical expenses, lost wages, and other economic losses. North Dakota law requires motorists to carry a minimum of $30,000 in PIP coverage per person. The state’s insurance department and department of transportation enforce its mandatory insurance laws.

Liability Insurance

In addition to PIP, state law requires liability insurance. North Dakota drivers must carry liability coverage, sometimes called fault coverage, with the following minimum limits:

• Bodily injury: $25,000 per person/$50,000 per accident
• Property damage: $25,000 per accident

Liability insurance covers injuries and property damage that an at-fault driver causes to others in a motor vehicle accident.

While your PIP coverage handles your initial economic losses, you may need to seek further compensation from the at-fault driver. How this works depends on the type of damages involved. State law prohibits suing the other driver personally except under specific circumstances.

For non-economic damages like pain and suffering, you can only pursue a personal injury claim with the at-fault driver’s liability insurance if you meet the state’s “serious injury” threshold. This threshold is met if one of the following is true:

• Your medical expenses from the accident exceed $2,500
• You’ve suffered a serious/permanent injury or a disability lasting over 60 days

If your economic losses (medical bills, lost wages, etc.) exceed your PIP limits, you can pursue a claim against the at-fault driver for those excess costs without meeting this threshold.

Property damage isn’t covered by PIP or North Dakota’s no-fault rules. You can file a property damage claim directly with the at-fault driver’s liability insurance company.

Comparative Negligence

North Dakota also uses a modified comparative fault system. This means if you are partly responsible for an accident, your compensation may be reduced by your percentage of fault. If you’re 30% at fault for an accident and have $100,000 in damages (after PIP benefits), you’ll be eligible to recover up to $70,000.

Drivers determined to be 50% at fault or more can’t recover any compensation under this system. These fault rules apply to injury and property damage claims involving liability insurance or lawsuits. They also apply to uninsured/underinsured motorist (UM/UIM) claims.

UM/UIM Coverage

North Dakota’s insurance requirements also include uninsured and underinsured motorist coverage. This type of insurance protects you and your passengers if you’re injured by an at-fault driver who has no insurance or not enough insurance.

The state requires UM/UIM insurance limits to match and be at least $25,000 per person and $50,000 per accident. Driving without a valid insurance policy in North Dakota can lead to fines, jail time, and community service requirements.

What Types of Damages Can I Recover?

In North Dakota car accident cases, the types of damages you may recover can vary by policy. In general, PIP coverage only covers economic losses. Liability and UM/UIM policies often cover both economic and non-economic damages. 

The table below provides a brief summary:

Even with these mandatory policies, insurance may deny/undervalue a claim or raise a dispute over fault. In such cases, a car accident lawsuit may be the only means for an injured person to obtain fair compensation.

Statute of Limitations

Because a lawsuit can remain a possibility until you reach a settlement, your attorney should keep an eye on the statute of limitations. This is the state’s deadline for filing certain lawsuits.

North Dakota gives you six years from the date of the car accident to file a personal injury lawsuit. It’s an important deadline because missing it can mean losing your right to recovery.

Getting Legal Advice

For many reasons, it’s best to consult an attorney sooner rather than later. They can help you navigate this landscape before you take any action that might jeopardize your claims. They can also negotiate with insurers on your behalf and help you determine the best way to proceed.

Many car accident lawyers offer free case evaluations. Your first task should be to identify a qualified advisor to protect your interests. You’ll need someone licensed in North Dakota whom you can trust. An advocate experienced in negotiating car accident cases with insurance companies is ideal.

FindLaw offers a reputable directory of North Dakota car accident and personal injury attorneys. Take a moment to review their ratings and background information before getting started by meeting with one (or more) to identify the right lawyer for you. This will help you move forward with confidence and the benefit of legal guidance.