Ever wondered if Arizona is a no-fault or at-fault state for car accident personal injury claims. Understanding this distinction is important, especially if you recently relocated from out-of-state and you want to know what automobile insurance coverages you need.
Arizona is an at-fault state. This means the driver who caused the accident must pay for the damages. This is different from no-fault states, like Utah and Michigan, where each driver’s personal injury claim is filed through that driver’s own insurance and regardless of fault.
Arizona’s Pure Comparative Fault System
Arizona follows a pure comparative-fault system. Under this rule, a jury may allocate each party’s (and non-parties) share of fault in a car accident anywhere from 0% to 100%, provided the total equals 100%.
Under Arizona’s civil jury instructions, “fault” means negligence that causes injury. A plaintiff must prove negligence by a preponderance of the evidence that the other driver failed to exercise reasonable care when driving his or her vehicle and that the negligence/fault substantially contributed to the injury.
In Arizona, drivers must have at least $15,000 for property damage, $25,000 for each person’s injury, and $50,000 for all injuries that occur in one accident. During personal injury claims, insurance adjusters factor potential jury allocations into settlement discussions. For example, if an adjuster believes their insured bears 40% of the fault, the insurer will offer compensation for just 40% of the claimant’s total damages, which includes medical expenses, lost wages, and general damages like pain and suffering.
What is No-Fault?
By contrast, in no-fault states, adjusters do not assign blame. You don’t need to prove the other driver was at fault for causing the crash. Injured drivers file claims directly with their own insurers under Personal Injury Protection (PIP) coverage, regardless of who caused the crash. PIP coverage helps pay for economic like medical bills and lost wages. A drawback is that PIP does not cover general damages like pain and suffering, emotional distress and loss of enjoyment of life.
| State Type | Insurance System | Compensation Source |
| No-Fault States | PIP Coverage | Own Insurance |
| Fault-Based States (like Arizona) | Liability Coverage | At-Fault Driver’s Insurance |
What About Uninsured Motorist and Medical Payments Coverage?
Arizona automobile policies have optional coverages called uninsured motorist, underinsured motorist and medical payments. Even though personal injury claims under uninsured motorist or underinsured motorist coverages are through your own insurance company, you still need to demonstrate fault. An uninsured motorist is when at the at-fault party had no liability insurance during the crash. An underinsured motorist is when the at-fault driver’s liability limits are insufficient to fully compensate the injured party’s personal injury claim. Once fault is established, your own insurance company steps in and pays the personal injury claim. This includes both economic and non-economic damages.
Medical Payments (“MedPay”) coverage, on the other hand, only requires that the insured be injured arising from a motor vehicle and that medical expenses are incurred to treat those injuries. MedPay coverage typically has limits of $5,000 or less, although, many carriers offer higher limits. But unlike PIP that covers all economic damages associated with a personal injury claim, MedPay does not cover lost or diminished earnings or lost or diminished revenue
When Does No-Fault Insurance (PIP Coverage) Apply to Arizona Car Accidents?
Automobile insurance companies do not offer PIP coverage for automobile policies issued in Arizona. Nevertheless, PIP may still come into play for car accidents that occur on Arizona freeways and roadways.
Arizona has a huge influx of seasonal residents (aka snowbirds) during the cooler and milder months. If a seasonal resident primarily resides in Michigan, registers his or her vehicle in Michigan under an automobile policy issued in Michigan, the driver may elect to pursue a PIP claim for injuries sustained during a car accident in Arizona. Under Michigan’s No‑Fault Act, PIP applies to accidents occurring anywhere in the U.S. or Canada so long as the vehicle is titled, registered, and insured in Michigan by a named insured, their spouse, or a resident relative.
Scenarios to Illustrate Arizona’s Pure Comparative Fault System
As mentioned above, a jury assigns fault under Arizona’s pure comparative fault system. This includes assigning comparative fault to the Plaintiff and assigning fault to any non-party who was properly designated as a non-party at fault. A couple different scenarios will help illustrate how the pure comparative fault system works.
Imagine a crash where Driver A is 70% at fault and Driver B is 30%. Arizona’s rules mean Driver B can still sue Driver A. But Driver B’s damages will be reduced by 30% because of his or her comparative fault. If the verdict is for $100,000 in damages, the amount is reduced by 30% and Driver B receives $70,000.
In another illustration, if Driver C makes an unsafe lane change causing Driver B and Driver A to crash, but Driver C leaves the scene because Driver C’s vehicle was not hit. If Driver C is properly noticed as a non-party at fault during the lawsuit, a jury can consider the fault of Driver C. If the jury verdict is for $100,000 and the jury finds that Driver A is 50% at fault, Driver B is 30% at fault and Driver C (Non-Party) is 20% at fault, Driver B’s damages are reduced by 50% because of the comparative fault and Driver B cannot collect against Driver C since Driver C was unknown and was not a party to the lawsuit. Driver B, however, can collect under his or her uninsured motorist coverage based on Driver’s C’s fault.
Making a personal injury claim under Arizona’s pure comparative fault system can be tricky because of the moving parts in proving fault, damage and causation. An experienced personal injury lawyer can help protect your rights and get you fair and reasonable compensation for your injuries, medical expenses and lost earnings.
FAQ
Is Arizona a no-fault state for car accidents?
No, Arizona is not a no-fault state. It’s an at-fault state. This means the driver who caused the accident must pay for the damages. Arizona law requires drivers to have car insurance with minimum liability limits of $25,000 per person and $50,000 per accident. An injured driver pursues a personal injury claim under liability insurance for the at-fault driver.
What is no-fault insurance?
In no-fault states, you can get compensation from your own insurance, no matter who was at fault. This is through personal injury protection (PIP) coverage. It covers economic damages like medical bills and lost earnings without having to prove fault. PIP coverage does not cover non-economic damages like pain and suffering, emotional distress and loss of enjoyment of life.
Are there any situations where no-fault principles apply in Arizona?
Although Arizona is at-fault, no-fault principles can apply in some cases. For example, an out-of-state who drives his or her car registered in a no-fault state like Michigan and insured under an automobile policy issued in Michigan, can make a PIP claim if he or she is injured during a car accident on Arizona’s freeways and roadways.
Isn’t Uninsured Motorist, Underinsured Motorist and Medical Payments coverage no-fault
Neither uninsured nor underinsured motorist coverage is no-fault. You still must prove that either the uninsured driver or underinsured driver was at fault for causing your injuries. Medical Payment coverage is a no-fault coverage but it is not PIP coverage. Medical Payment coverage is for medical bills incurred for crash related treatment up to a specific limit (e.g. $5,000) and does not cover other economic damages that are many personal injury claims.
How does Arizona’s pure comparative fault system work?
Arizona uses a pure comparative fault system. This means you can still get compensation even if you’re partially to blame. But your damages are reduced by your fault percentage. For example, if you’re 20% at fault in an accident with $20,000 in damages, you’ll only recover $16,000.
What happens when the injured driver is 50% at fault or greater? Can he or she recover damages?
Generally, yes. If injured driver has $10,000 in damages but 70% fault for the accident, the injured driver’s recovery is limited to $3,000. A pure comparative fault system lies in contrast to a contributory negligence system where 50% or greater can preclude the injured driver from recovering any damages. Even though Arizona has a pure comparative fault system, there are certain statutes that can preclude recovery if found greater than 50% at fault. One such statute is if the injured person was under the influence of alcohol and if because of being under influence the injured person had at least 50% comparative fault for his or her injuries.
How does pure comparative fault affect personal injury damages in Arizona?
Pure comparative fault in Arizona affects personal injury damages. The fault percentage assessed against the defendant determines the compensation you can get. It’s key in settlement talks and court decisions. It’s important to have strong evidence to reduce your fault percentage and increase your recovery.
