North Carolina is not a no-fault state for car accidents. Our state is an “at-fault” state, meaning that the insurance company of the driver at fault for the accident is responsible for paying monetary damages to the injured person. It also means that, in a personal injury lawsuit, you have the burden of proving that the other driver was negligent and caused your injuries. This may sound daunting, but is very possible with the help of a qualified personal injury lawyer.
At Naomi Ellis Law, we understand what it is like to go through a car accident. Our team knows what you are dealing with, from high medical costs to the physical limitations of your injuries. We help you prove fault, work with insurance companies, and even file a car accident lawsuit when necessary. We are here for you every step of the way.
In a no-fault state, drivers turn to their own insurance company for compensation after a crash, regardless of who caused it. Medical expenses and lost wages are typically covered up to a certain limit. Suing the other driver is generally restricted unless the injuries reach a specific severity threshold. This system simplifies the initial claims process and reduces litigation. However, it may leave victims undercompensated for long-term damages or pain and suffering, especially in cases involving serious, lasting injuries.
In an at-fault state like North Carolina, the person who caused the accident (and their insurer) is responsible for covering:
Because North Carolina is not a no-fault state, accident victims must prove that the other driver was fully responsible before they can receive compensation. North Carolina also adheres to a pure contributory negligence rule, meaning if the injured party is found even 1% at fault for the crash, they may be barred from recovering any compensation. This makes proving fault particularly important when pursuing financial recovery after an accident, especially when fault is disputed or unclear at the scene.
Some states have moved to a no-fault system for handling car accidents. North Carolina is not one of them, but it is important to understand what a no-fault state is. In this system, both drivers in an accident file a claim with their own insurance company, regardless of fault. Each driver’s insurance company pays for its own customer’s damages.
Different states have unique rules about how this may affect a personal injury lawsuit, but this is not a concern in our state.
North Carolina is an at-fault state. The negligent driver that caused the car crash is responsible for damages to both people and property. If you were not at fault for the accident, you should not be responsible for the costs. The other driver and their insurance company should be on the hook for the damages you have suffered, rather than each of you paying your own costs as in a no-fault state.
However, even in at-fault states like this one, some no-fault insurance coverage still protects you. For example, in your car insurance policy you likely have coverage for medical payments and expenses when your car accident claim is pending. This is often referred to as “med pay.” This stop gap coverage is meant to help you pay for damages while you wait for the other party or their insurance company to pay for your damages.
Because North Carolina is an at-fault state, proving the other driver’s negligence is essential to recovering compensation. This includes demonstrating that the other party owed a duty of care, breached that duty, and caused your injuries or damages as a result.
Proper documentation, timely evidence collection, and a strong legal strategy are all key to supporting your side of the story, especially when insurance companies attempt to dispute fault or minimize payouts. Even a seemingly minor detail can make or break your claim, especially when liability is unclear or more than one party is involved.
Under NC Gen Stat § 1-139, the burden of proving contributory negligence lies with the defendant. This means that if the at-fault driver claims you shared responsibility for the accident, they must provide clear and convincing evidence to prove it.
If they can’t, and you are shown to be entirely blameless, you can proceed with your claim. However, if you are found even slightly at fault, your ability to recover damages may be completely barred under North Carolina’s strict contributory negligence standard.
To recover damages in an at-fault system, your legal team must build a strong case supported by evidence. Here’s what that typically includes:
In many cases, prompt evidence collection strengthens your claim and prevents the at-fault party from shifting blame.
If you’ve been involved in a car accident in Durham, NC, understanding that North Carolina is not a no-fault state is crucial. The burden lies in proving fault, navigating insurance claims, and avoiding pitfalls tied to contributory negligence. Working with a car accident attorney can make a significant difference in building a strong case and securing compensation under North Carolina law.
State law requires that all drivers carry at least the minimum for automobile coverage for any vehicle they drive. However, a new law was recently passed that will increase the amount a driver is required to carry starting January 1, 2025. These minimum coverage amounts include:
Insurance companies must pay up to these minimums, but are only required to pay out the amount of coverage the driver pays for. In serious accidents, this could mean that the other driver’s insurance coverage is insufficient to pay for your damages. In this case, you must file a claim claim under your Underinsured Motorist Coverage on your own policy, if you have it, or proceed against the other driver’s personal assets to help make up the difference.
North Carolina requires all registered vehicles to carry continuous liability insurance provided by a licensed insurer in the state. Out-of-state policies are not accepted. According to Senate Bill 452, the state mandates both minimum liability coverage and uninsured/underinsured motorist protection, with the law taking effect on July 1.
Here are the minimum required coverage limits:
Drivers must not cancel their policy until they have surrendered their license plate to the NCDMV, or they risk penalties. Lapses in coverage may result in not only financial penalties but also license plate revocation and potential reinstatement fees, which can delay the ability to legally operate your vehicle in North Carolina.
This coverage is designed to protect you and others in the event of an accident caused by someone who may have minimal or no coverage. It also ensures that victims of negligence can receive fair compensation without having to face additional legal hurdles just because the other driver lacked proper coverage.
North Carolina utilizes a contributory negligence standard in car accidents. This means that, if a driver was at fault for the accident in any way, they cannot recover compensation in a personal injury claim. This can be a harsh rule, but is often used as more of a scare tactic.
A defendant in a car accident claim may accuse you of contributing to the accident, even when you share no actual fault. An experienced car accident attorney is familiar with these tactics and how to combat them to protect your rights to compensation.
In an at-fault state like North Carolina, you need an experienced car accident attorney who understands how to prove the other driver was at fault. You want a skilled litigator and negotiator who works hard to protect you.
The experienced team at Naomi Ellis Law works hard for car accident victims like you. Contact us today for a free consultation of your case.
Attorney Naomi Ellis is a dedicated personal injury lawyer known for her tenacity, compassion, and client-first approach. After moving from Australia to the U.S. as a student-athlete, she earned her law degree with honors and gained valuable experience at top firms before founding Ellis Law. Naomi is committed to helping injured individuals reclaim their lives through skilled, personalized legal representation.
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Naomi is an excellent attorney. She is attentive, knowledgeable and compassionate. She went above and beyond, handling aspects I didn’t even know I needed. It’s nice to feel cared for in a situation that is otherwise setup for the opposite.
Naomi is an excellent attorney. She is attentive, knowledgeable and compassionate. She went above and beyond, handling aspects I didn’t even know I needed. It’s nice to feel cared for in a situation that is otherwise setup for the opposite.
Naomi is an excellent attorney. She is attentive, knowledgeable and compassionate. She went above and beyond, handling aspects I didn’t even know I needed. It’s nice to feel cared for in a situation that is otherwise setup for the opposite.
Naomi is an excellent attorney. She is attentive, knowledgeable and compassionate. She went above and beyond, handling aspects I didn’t even know I needed. It’s nice to feel cared for in a situation that is otherwise setup for the opposite.
This page has been written, edited, and reviewed by a team of legal writers following our comprehensive editorial guidelines. This page was approved by Founding Partiner, Naomi Ellis who has more than 20 years of legal experience as a personal injury attorney.
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