Most of the time, when a driver’s negligent actions cause injuries or property damage, that driver is responsible for paying for those damages. However, Lousiana’s “No Pay, No Play” law limits the damages an uninsured driver can collect.
How might this law affect your case?
“No Pay, No Play” law
The “No Pay, No Play” law is part of Louisana’s compulsory motor vehicle liability law. This law requires all drivers to maintain minimum coverage amounts for bodily injury and property damage liability:
- $15,000 per person bodily injury
- $30,000 per accident bodily injury
- $25,000 property damage
Drivers who do not maintain this minimum amount of liability coverage can not collect the first $25,000 in property damage and $15,000 in bodily injuries, even if another party is entirely responsible for the accident that caused those damages.
Exceptions to the “No Pay, No Play” law
There are a few exceptions to the law:
- Someone hit your parked vehicle
- A driver caused the accident while intoxicated, caused the crash intentionally, fled the scene or committed another felony that caused the accident
- The at-fault driver lives in another state and that state does not require liability insurance
Additionally, the law doesn’t apply to passengers in your vehicle, unless they are co-owners of the vehicle.
Maintaining the minimum required liability insurance is important for avoiding penalties and protecting your financial interests. In Lousiana, it is also important because failing to comply with the law could result in paying out of pocket for damages caused by another driver in an automobile accident.