Collision Coverage and the Right to Subrogate for No-Fault Accident

With no-fault collision insurance coverage, the insurance company pays for your car repair damages, regardless of who was at fault for causing an accident. Depending on a state’s statutes and case laws, insurance companies may or may not have the right to subrogate (be reimbursed for covering damages) by suing an at-fault third party (individual responsible for causing the accident). North Carolina is not a no-fault insurance state. However, in Virginia, which does have no-fault insurance, the policy holder also has the right to sue the at-fault party.

Under Virginia statute § 4.47[1] Subrogation Rights, Virginia courts allow subrogation "to prevent the unjust enrichment of plaintiffs who would otherwise be doubly compensated." However under the same statute, any insurance policy that provides hospital, medical, surgical and similar related benefits is not subject to subrogation. This means that the insurance company can subrogate for collision damages, but not for bodily injury damages. If you carry collision insurance and you sue the other driver and receive compensation for car damage, and your insurance company already paid you for collision damages, it can subrogate to recover compensation from the money you received from the third party.


  1. avatar Gaither Danner
    Posted March 27, 2017 at 4:02 pm | Permalink

    I was involved in an accident on July 10, 2014. At the time my insurance company after 3 years told me that my insurance was dropped due to it being due 3 days previously. I never claimed to be at fault for the accident and after going to court the citation was considered to be dropped and now a non-fault accident. The insurance company is now taking me to court and considered the car totaled. At the time of the incident I spoke with the owner of the car to make sure everyone was ok and he reported that no one was injured. The damage to the car which I could not take pictures due to my phone being dead. The impact was on the drivers side wheel and when I spoke the owner he reported the anti-brake system was looked up and a scratch on the door panel. He also stated that this was only an accident. Also the location stated on the drivers license was not the same as on the ticket or license at the time. Also I spoke with the City’s Traffic department for video of the accident on 7-11-14 and they reported to me that they do not keep any records and could not support that footage. Also after looking at some of the towing bill information they reported that the vehicle was towed on 7-11-14 and the incident occurred on 7-10-14 which reported that it was non-operational and could not be driven. Also with the petition that was sent to me by the lawyer addressed me as a she throughout the document and I am a man.

    • avatar Marcari, Russotto, Spencer and Balaban, P.C.
      Posted March 28, 2017 at 1:03 pm | Permalink

      Good Afternoon Mr. Danner, How can we assist you? Are you looking for representation? Feel free to give us a call (888) 351-1038. We are also happy to contact you if you would like to provide your contact information via email to [email protected].

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