We’re about to tell you everything you ever wanted to know and more if you were in a car accident in New York. You’ll learn what you need to do after your accident and what the average settlement is for a car accident New York.
New York Choice No-Fault Car Insurance Rule
This is the key to understanding how car accident settlements in New York work. The choice no fault insurance rule basically says that no matter what the first thing to do after an accident you should reach out to your insurance and go through them. It is very rare that the other driver can be held liable for an accident. The only way is if you have a “serious injury”. This is defined as broken bones at a minimum and typically needs to be much more severe.
How Long Do I Have To File A Lawsuit After My Car Accident?
After you’ve regained your composure after your car accident, you will want to reach out to a lawyer. In New York statute of limitations is the law that determines how long you have to file a lawsuit. It states that you have 3 years from the date of your car accident to file a lawsuit for personal injury as well as 3 years for property damages. These time frames only effect court cases.
The one exception to this is if your accident involved any type of government vehicle. In this case the laws are different but you will need to file quickly in this case, often within 90 days of your accident.
Comparative Fault Rules In New York
If you’ve been hurt in an accident New York, the law determining your compensation takes into account what percentage at fault you are in the accident to determine the amount you will receive in your settlement. Let’s look at an example:
Let’s assume you are in a car accident in New York City or upstate and the total damages (missed work, property damage, medical bills) add up to $100,000. The jury determines that you are 10% at fault for the accident. You would then receive $90,000, 10% less than the $100,000 based on your fault percentage. If your liability is greater than 50% you will not be eligible to collect any settlement.
If you have any questions that you are looking for further details, please visit New York’s Department of Transportation website here.
New York Accident Settlement Taxes
Generally speaking, personal injury damages and property damages settlements are not taxable by New York or the federal government. In a personal injury settlement, much of the settlement is usually to pay for physical damages that occur to your body because of the negligence of another party. Thus, this is not taxable. But if you are getting damages only for emotional damages and not for any physical injury, this will be taxable as income at the federal and state level.
Also, whatever you receive in your settlement for property damages is generally not taxable as income. But if you have received punitive damages, be aware that this is always taxable. Punitive damages are awarded to victims above and beyond their medical and property damage bills. These types of damages are intended to punish the defendant who did you harm, which is to discourage that person from doing such a thing again. If you have gotten punitive damages, be certain to talk to a tax professional to ensure that you are paying your taxes property.
While medical bill damages are not usually taxable as income, they will be taxable if you decide to take a medical expense tax deduction in a previous year. This amount would be taxable as income in New York and at the federal level.
What’s The Average Settlement For A Car Accident In New York?
If you’d like to see how much your accident settlement may be worth, please fill out this form and a New York car accident attorney will reach you shortly.
New York Car Accident Settlement Calculator:
Have you been involved in a motor vehicle accident or otherwise injured in New York? Find out how much financial compensation you may be legally entitled to in just minutes with our free online Injury Settlement Calculator.