Buying an insurance that will best suit the circumstances will be one question you're going to confront when investing in a motor vehicle. Chances are you're also asked to buy insurance as well together with the car. Depending on the state where you're living in, you might be required to buy a minimum insurance policy for your protection in case you get injured. Regardless if you're at fault for the accident or not, the insurer will pay for all the damages incurred. In theory, it will keep costs down regarding insurance, and claims will be processed much easier. A number of states actually have adopted this policy, including New York, Florida and Michigan.

Oftentimes these no-fault insurance policies cover personal injuries but to a limited extent. What it usually covers is your hospital bills and lost wages, usually specifying up to what amount it can actually cover. It won't cover any medical bills outside the limits of your policy, as well as your pain and suffering. But if the expenses of hospital bills as well as lost income will exceed that of your limits as stated in your insurance policy, your next recourse is to file a claim against the negligent party who caused the accident, and collect the damages consequently.

Each state has its own set of rules about suing the driver who caused your accident. If your insurance policy has already been exhausted and the insurance cannot entirely cover the bills you have to pay, some states can allow you to file a lawsuit if your injury is very serious, or it has resulted to death. And each state has its own list of serious injuries which can qualify the injured to file a claim to collect damages.

Other states work on a different way of filing lawsuits. There are insurance policies which can cover your medical expenses but you cannot sue the driver at fault. The driver in turn will not be able to sue you even if you're partly at fault of the accident. This is a kind of no-fault insurance called "choice no fault".

Most insurance policies nowadays would cover serious injuries and may even pay for all medical bills and lost wages, but you might come into a point where your damages will exceed than what your policy may actually cover. Since rules regarding collecting damages from negligent drivers vary from state to state, the best way to determine if you're eligible or not is to seek a qualified personal injury lawyer in you state.