Is Utah an No-Fault State? What Does That Mean?

Is Utah a no-fault state? It depends on what you mean? So in one manner of speaking, yes. Insurance companies love no-fault states. So, Utah in that regard is because we have some laws. Basically if you cannot prove that the defendant driver that hit you is more than 50% responsible, in Utah you have no claim. That’s not true of every state. But Utah it is.So insurance companies actually like, I mean here what that means, if you’re not 51% not liable you don’t have a claim. So if one parties 50% liable and the other parties 50% liable, the insurance companies win because neither insurance company has to pay out a dime. So they love no-fault. The other time no-fault comes in is with what  we call PIP or personal injury protection. It’s mandatory in the state of Utah for motor vehicles of just about all kinds except for recreational and motorcycle. So for most of us, we have a minimum of $3,000 of personal injury protection. In Utah, that comes in under a no-fault kind of status. So whether you’re at fault or not, you’ll have access to that $3,000 a PIP to use towards  medical bills. We here at Feller & Wendt, LLC™, actually don’t like PIP and the reason for that is because you’re getting the least bang for your buck. It just kind of gets paid out no matter what. The medical community knows about it and there’s a race to try to tap out that  $3,000 as quickly as possible. They’re not going to reduce any of your bills, they’re not going  to give you a cash discount. They’re going to max out their bill. Your x-rays are going to cost five  times what they should, your MRI’s will cost three times what they should, and that’s all because of this PIP no-fault kind of situation. So, we’d like to see PIP completely done away with and instead people increase their BI or bodily injury limit and their UIM limits to at least $300,000.