What Does “No Pay No Play” Mean In Louisiana?

After an accident, insurance companies usually ask the victim for proof of insurance, even if the wreck wasn’t their fault.  This is because Louisiana has the “No Pay No Play” law, which penalizes uninsured drivers, even if they are involved in an accident that is not their fault.  

No Pay No Play Is A Penalty For Uninsured Drivers, Even If They Are Not At Fault

In Louisiana, the current law requires drivers to have minimum liability coverage (covering them for accidents which are their fault) in the amount of 15/30/25.  That is, they must have bodily injury liability coverage in the amount of $15,000 per person up to a limit of $30,000 for everyone who is injured, and property damage limits of $25,000.  

If an uninsured driver is in a wreck which is not their fault, La. R.S. 32:866 imposes a penalty on them by decreasing the amount they may be able to recover from the at-fault insurer.  The statute bars uninsured drivers from recovering the first $15,000 of their bodily injury claim and the first $25,000 of their property damage claim.  

Example Of No Pay No Play

As an example, uninsured driver, Mark is in an accident when he is rear-ended by an 18-wheeler whose driver was not paying attention.  Mark has serious injuries and the value of his personal injury claims is $50,000.  The wreck also totaled Mark’s vehicle, which has an actual cash value of $20,000.  Because Mark is uninsured, the No Pay No Play law bars Mark from recovering the first $15,000 of his $50,000 claim, allowing him to collect only $35,000.  For his totaled vehicle, Mark will not be able to collect its $20,000 value.

There Are Exceptions To No Pay No Play

There are a few exceptions to the rule, including if the other driver is operating a vehicle while intoxicated, intentionally causes the wreck, or flees the scene.  

Also, it is important to note that the No Pay No Play rule does not apply to passengers.  That means an injured passenger is not penalized by the rule, even if the car they are riding in is not insured.  The law only applies to the owner or operator of the vehicle.

Have You Been In An Accident With An Uninsured Driver Or Being Given The Runaround By The Insurance Company Based On The No Pay No Play Rule?

If you have been injured in a car wreck with an uninsured driver or are being given the runaround by the insurance company based on the No Pay No Play Rule,  contact us online or call our Covington office directly at 985.590.6182 to schedule your free consultation today. Flattmann Law serves clients on the Northshore, including Covington, Mandeville, Abita Springs, Bogalusa, Franklinton, Folsom, Madisonville, Goodbee, Hammond, Lacombe, Pearl River, and Slidell.