What does No Pay No Play Laws mean? Read on to discover the definition & meaning of the term No Pay No Play Laws - to help you better understand the language used in insurance policies.
No Pay No Play Laws
State laws that prohibit uninsured drivers from collecting certain types of damages from negligent insured drivers. The theory is that those who do not buy insurance should not receive benefits from those who do purchase it. These laws prohibit injured, uninsured drivers from collecting noneconomic damages and often require uninsured drivers to pay a large deductible (typically $10,000) before they can sue for property damage (PD).
We hope the you have a better understanding of the meaning of No Pay No Play Laws.