Basic Reparation Benefits (BRB)
If you suffered an economic loss after a car accident in Kentucky, then you are entitled to the timely payment of basic reparation benefits (BRB) under the Kentucky Motor Vehicle Reparations Act. The BRB benefits are sometimes called PIP benefits. The benefits for basic reparations include a statutory minimum amount of $10,000 to cover economic losses incurred because of injuries in a car accident. Those economic losses can include the payment of medical expenses and lost wages.
In Kentucky, insurance companies may not sit indefinitely on a claim. If the insurance company doesn't either pay the benefit or deny the claim with a valid explanation, then a legal action can be brought to force the insurance company to pay the benefit plus interest and attorney's fees.
Attorneys for BRB Benefits in Kentucky
If you were involved in a motor vehicle accident that occurred in or around , Kentucky, as the driver of the vehicle or as a passenger in the vehicle, then contact an experienced car accident attorney in Kentucky.
The car accident attorneys at Steiden Law Offices have offices in Covington and Florence in Northern Kentucky. Our attorneys fight to recover money damages to pay your bills for medical care related to the motor vehicle accident and to make sure your basic reparation benefits (BRB) are paid directly to you without delay.
In these cases, we will send a to the claim department of the insurance company placing the company on notice of a pending claim under the policy. After the insurance company acknowledges the claim, it conducts a coverage investigation and requested that certain forms are completed related to the claim for personal injury benefits. The first issue to be determined in any claim under uninsured motorist coverage is whether, in fact, the damages sought to be collected were the result of an accident involving an uninsured motor vehicle.
Contact an attorney to find out more about your rights to BRB benefits after a car accident in Kentucky. Call .
What Does the BRB Claim Cover
The payment of BRB in the statutorily minimum amount of $10,000, represents out-of-pocket medical expenses, lost wages, and other damages. The BRB benefit is available for reimbursement for actual economic loss sustained by a claimant after a car accident in Northern Kentucky.
When determining whether the driver or passenger injured in a car accident possesses a valid BRB claim, the courts determine whether there were economic losses actually sustained by the insured, for example, out-of-pocket medical expenses and lost wages. If the payment is statutorily overdue, you are also entitling to interest and attorney's fees pursuant to KRS 304.39–210 and KRS 304.39–220.
Failure to Timely Pay the BRB
If the insurance company does not make full payment of BRB directly to you within the time allowed, then we can help you file a complaint against the insurance company showing the violations of the MVRA by failing to timely pay BRB. These claims involve a showing that the insurance company failed to timely deny or timely pay the BRB claim. In those types of cases, our clients are entitled to the BRB benefits plus interest and attorney's fees under KRS 304.39–210 and KRS 304.39–220.
In order to encourage the prompt payment of BRB claims, the MRVA requires that the reparations obligor may be liable for the payment of 18% Interest and attorney's fees if its delay in the payment of “overdue” benefits was “without reasonable foundation.” KRS 304.39–210(2) and 304.39–220(1).
When determining whether a payment is “overdue” under KRS 304.39–210(1), the courts will determine when the reparations obligor received reasonable proof of the fact and amount of loss realized and when the time for payment commenced.
Requirement to Either Pay the BRB or Promptly Reject the Claim
Subsection (5) of KRS 304.39–210 provides: "A reparation obligor who rejects a claim for basic reparation benefits shall give to the claimant prompt written notice of the rejection, specifying the reason."
The insurance company has a duty to make some response to a claim within the time limits contemplated by subsection (1) of KRS 304.39–210. Without this requirement, the person injured in the accident might be lulled into the false assumption that he has furnished reasonable proof of loss and that the insurance claim will be paid. If the insurance company does not intend to pay a claim for medical expenses because the claimant has not furnished copies of the medical bills, the company should give the claimant “prompt notice” of the reason why the claim is not being paid.
Without this “prompt notice” explaining the reason for non-payment, the insurance company is deemed to have waived any question of the sufficiency of the proof of loss for the purpose of determining when an otherwise valid claim became “overdue.”
The insurance company is statutorily mandated under KRS 304.39–210(1) to provide the reparation obligor with reasonable proof of loss to be entitled to payment of BRB. Although an unpaid medical bill does not constitute reasonable proof of loss under KRS 304.39–210(1), the insurance company must still provide the insured with written notice setting forth the reasons for nonpayment of BRB pursuant to KRS 304.39–210(5).
The failure of a reparation obligor to provide prompt written notice of nonpayment in conformity with KRS 304.39–210(5) constitutes a waiver concerning the sufficiency of the insured's proof of loss.
When is the BRB Payment "Overdue"?
If the insured's claim for BRB is otherwise valid, the payment of BRB is considered overdue. Under KRS 304.39–210(2), the sanction is 12 percent interest for the overdue BRB payment, and if the overdue payment was withheld “without reasonable foundation,” the interest is increased to 18 percent, and the insured is also entitled to reasonable attorney's fees per KRS 304.39–220.
If your insurance company files to timely pay the BRB claim or fails to give prompt written notice of its reasons for nonpayment, then the insurance company can be held liable for a valid BRB claim.
Under the Kentucky Motor Vehicle Reparations Act, an out-of-state insured involved in a motor vehicle accident in Kentucky is statutorily entitled to the minimum amount ($10,000) of basic reparation benefits (BRB) if the insurer is an insurance company registered to do business in Kentucky.
Finding a Northern Kentucky Attorney for BRB Claims
If you were involved in a motor vehicle accident in Florence or Covington or the surrounding areas in Northern Kentucky, your attorneys can help you file an application for BRB under the Kentucky Motor Vehicle Reparations Act with your insurance company. We can also help you show proof of your damages and economic lost including medical bills, out-of-pocket medical expenses, and lost wages.
The PIP benefits, or basic reparation benefits, are reimbursement for losses suffered due to an automobile accident. Losses are defined by statute in Kentucky as “accrued economic loss”. In other words, the insured must suffer an economic loss to be entitled to payment of BRB per KRS 304.39–210(1).
In order to receive the personal injury benefits, you must first fulfill your statutory duty under KRS 304.39–210(1) by providing your insurance company with the reasonable proof of loss. Then the insurance company must fulfill its duty under KRS 304.39–210(1) and (5) to either pay the BRB claim within the designated time limits or to promptly reject the claim by giving written reasons.
Contact the Northern Kentucky car accident attorneys at Steiden Law Offices to discuss the facts of your case at our office in Covington or Florence, KY. Call today.
This article was last updated on Friday, October 6, 2017.