2025 Transportation Law Compendium: No Pay, No Play Question 1

No, Alabama has not enacted a “No Pay, No Play” rule that would bar certain categories of damages for uninsured drivers involved in an accident.

No, Alabama has not enacted a “No Pay, No Play” rule that would bar certain categories of damages for uninsured drivers involved in an accident.

Yes, Alaska has enacted a “No Pay, No Play” law that limits the ability of uninsured drivers to recover certain types of damages after a motor vehicle accident. Specifically, under Alaska Statute § 09.65.300, an uninsured driver who is injured while operating a vehicle and knowingly lacks the required liability insurance is barred from recovering non-economic damages. These include compensation for pain and suffering, emotional distress, loss of enjoyment of life, and other intangible harms.

No. Article 2, Section 31 of the Arizona Constitution prohibits laws that limit the amount of damages that can be recovered for injury or death.

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California is a “No Pay, No Play” State. The law was passed through Proposition and is commonly referred to as Prop. 213. Prop. 213, codified in California Civil Code §§ 3333.3 & 3333.4, restricts damages recovery for injured automobile owners and drivers in three situations. Non-economic damages are barred: 1) where the driver themselves is convicted of DUI; 2) where they did not have the state minimum liability insurance at the time of the accident; and 3) when injury is sustained by a convicted felon whose injuries were proximately caused during the commission of the felony or immediate flight therefrom.
Non-economic damages are defined by the Statute as “..losses to compensate for pain, suffering, inconvenience, physical impairment, disfigurement, and other nonpecuniary damages.”

No.

Connecticut does not recognize the No Pay, No Play concept.

Delaware does not have a “No Pay, No Play” rule.

A plaintiff can generally bring action and seek damages without limitations, even if they are not insured at the time of the accident. D.C.’s “eligibility” requirement, D.C. Code 1981, § 35-2106(d), was repealed by the legislature.

No — uninsured drivers may still file lawsuits against other at-fault drivers.

No. However, vehicle owners are required to keep minimum motor vehicle liability insurance coverage.[i] The minimum bodily injury limits in Georgia are $25,000 per person and $50,000 per incident, and the minimum property damage limit is $25,000 per incident.[ii] Georgia law also provides that the owner of a vehicle or any person who knowingly operates or authorizes another to operate a vehicle without effective insurance is guilty of a misdemeanor.[iii]

[i] O.C.G.A. § 33-34-4.

[ii]Office of Commissioner of Insurance and Safety Fire, Auto Insurance, https://oci.georgia.gov/insurance-resources/auto (last accessed July 31, 2025 at 4:00 p.m.).

[iii] O.C.G.A. § 40-6-10.

For more information, please contact:

ALFA International Headquarters
980 N. Michigan Avenue, Suite 1180
Chicago, IL 60611
Phone: (312) 642-2532

No, Idaho does not limit the ability of uninsured drivers to recover from tortfeasors.

In litigation, a “no pay, no play” rule generally refers to a law or procedural rule that limits or bars a plaintiff’s ability to recover certain damages if they themselves did not comply with a legal requirement.

Illinois does mandate liability insurance for all motor vehicle operators. 625 ILCS 5/7-601. However, Illinois has not adopted a “no pay, no play” rule.

Yes, Indiana’s No Pay, No Play rule is governed under Burns Ind. Code Ann. § 34-30-29.2-3. If this rule applies in a particular case, pursuant to Ind. Code § 34-30-29.2-3, a person is barred from recovering noneconomic damages or property damages. In other words, if the statute applies, the claimant’s damages are capped by the related specials, and the claimant is not entitled to any damages for pain and suffering. Criteria includes: uninsured motorist on date of loss and previous uninsured violation in the prescribed statutory period [usually 5 years].

Iowa law applies a narrow version of the “No Pay, No Play” rule. Unlike some other states’ “No Pay, No Play” rules, Iowa does not limit a driver’s ability to sue simply for driving uninsured. The only way a driver’s recourse is limited is if they are convicted of a felony occurring at the time of the accident. More specifically, Iowa Code § 613.20 states that “if a person was injured in an automobile accident while that person was in the process of committing a felony and was convicted of that felony, the injured person is barred from non-economic recovery.” Iowa Code § 613.20. However, this section does not apply if the injured person does not have fault in the accident. Iowa Code § 613.20(2).

If Iowa Code § 613.20 applies, the injured person is barred from recovering the following noneconomic damages:

• Disability;
• Emotional distress;
• Disfigurement; and
• Pain and suffering.

Yes, Kansas applies a “No Pay, No Play” rule. A person who does not maintain personal injury protection benefits coverage at the time of an automobile accident will have no cause of action for recovery of noneconomic loss sustained as a result of an accident while operating an uninsured automobile. See K.S.A. § 40-3130.

No, Kentucky is not a “no pay, no play” state and does not have a no play statute. Kentucky is a choice no-fault state, meaning drivers can choose no-fault (PIP) coverage or they can opt out of no-fault and retain full rights to sue and be sued. Drivers may sue other drivers for negligence, but it also exposes them to liability if they cause injuries or harm. If an uninsured driver is injured in an accident caused by another person, they can still sue for economic and non-economic damages, such as past and future medical expenses, past and future lost wages, past and future pain and suffering, emotional distress, etc. However, driving without insurance is still illegal in Kentucky and can result in fines, license suspension, and/or vehicle registration revocation.

Louisiana’s “No Pay, No Play” law refers to LA Revised Statute §32:866, which restricts uninsured drivers from recovering certain compensation after a car accident – even if another driver was clearly at fault.

Before August 1, 2025:

• Uninsured drivers cannot recover the first $15,000 of bodily injury and $25,000 of property damage.
• These thresholds correspond to Louisiana’s minimum liability insurance requirements: $15,000 per person, $30,000 per accident, and $25,000 property damage.

Effective August 1, 2025 (House Bill 434):

• Uninsured drivers will be barred from recovering the first $100,000 in bodily injury and first $100,000 in property damage, regardless of fault.
• This major increase is part of new insurance reforms aiming to reduce costs by discouraging uninsured driving and thereby easing the burden on insured motorists.

No.

Maryland does not apply a “No Pay, No Play” rule, which limits the damages an uninsured driver can receive in motor vehicle accident cases. Maryland does not restrict the damages that litigants of motor vehicle accident cases can receive, based on insurance status.

For more information, please contact:

ALFA International Headquarters
980 N. Michigan Avenue, Suite 1180
Chicago, IL 60611
Phone: (312) 642-2532

Yes. The owner or registrant of an uninsured vehicle that was involved in an accident is not entitled to personal protection insurance benefits (first party) for accidental bodily injury.ix In third-party automobile negligence actions against a tortfeasor, a plaintiff will not be awarded damages if they were operating their own vehicle without the proper statutory insurance security.

Minnesota does not have a “No Pay, No Play” law.

Mississippi does not have a “no pay, no pay” law. While minimum insurance limits are statutorily required, the failure to procure the same does not limit the ability to recover.

Yes. Pursuant to MO. REV. STAT. § 303.390.1, “[a]n uninsured motorist shall waive the ability to have a cause of action or otherwise collect for noneconomic loss against a person who is in compliance with the financial responsibility laws of this chapter due to a motor vehicle accident in which the insured driver is alleged to be at fault.” Notably, however, the United States District Court for the Western District of Missouri concluded that this statue violates the constitutional right trial by jury. Jiles v. Schuster Co., 357 F. Supp. 3d. 908, 916 (W.D. Mo. 2018). The Supreme Court of Missouri has yet to address the constitutionality of Missouri’s “No Pay, No Play” Rule.

No, Montana is an at-fault state. Therefore, the “no play, no play” rule does not apply.

Nebraska does not have a “No Pay, No Play” rule.

Nevada does not apply a “No Pay, No Play” rule to uninsured motorist. Plaintiffs can recover economic and non-economic damages regardless of their insurance status at the time of the accident.

Nevada only limits damages when a plaintiff more than 50% at fault in an accident. Nevada’s comparative negligence statute bars recovery if the plaintiff’s comparative negligence is greater than the negligence of the defendant or the combined negligence of multiple defendants. See NRS 41.141.

New Hampshire does not require commercial drivers to maintain motor vehicle insurance. However, statutory law requires uninsured drivers to demonstrate “proof of financial responsibility,” i.e., the ability to pay certain amounts in damages if found at fault for an accident, see RSA 264:20, but there is no strict or automatic bar to recovery based upon a “no pay, no play” rule.

N.J.S.A. 39:6A-4.5 bars uninsured motorists from recovering both economic and non-economic damages for injuries sustained while operating an uninsured automobile. See also Caviglia v. Royal Tours of Am., 842 A.2d 125 (N.J. 2004), where the New Jersey Supreme Court concluded that the law serves an important public policy goal of deterring uninsured driving. Limited exceptions exist: property damage claims remain viable, and passengers injured in an uninsured vehicle are not barred from recovery.

New Mexico does not employ a “no pay, no play” rule.

For more information, please contact:

ALFA International Headquarters
980 N. Michigan Avenue, Suite 1180
Chicago, IL 60611
Phone: (312) 642-2532

No, North Carolina is not a “No Pay, No Play” state. Uninsured drives are not limited in their ability to bring claims and file suit for damages. The North Carolina Motor Vehicle Safety and Financial Responsibility Act of 1953, as amended (N.C.G.S. §§ 20-279.1 to 20-279.39) does not bar or limit claims by uninsured motorists. The North Carolina Supreme Court has stated that the public is protected by requiring uninsured motorist coverage.

North Dakota applies a form of the “No Pay, No Play” rule through its no-fault insurance system. Under North Dakota Century Code (N.D.C.C) S. 26.1-41-20, an insured driver may not be held liable for non-economic damages if the injured person was uninsured at the time of the accident and has at least one conviction for driving without insurance North Dakota Century Code (N.D.C.C) S. 39-08-20. The prohibition applies to non-economic losses such as pain and suffering, emotional distress, and loss of consortium. Economic damages such as medical expenses and lost wages remain recoverable under the no-fault benefits.

For more information, please contact:

ALFA International Headquarters
980 N. Michigan Avenue, Suite 1180
Chicago, IL 60611
Phone: (312) 642-2532

No. Oklahoma does not currently apply a “no pay, no play” rule. The state previously had such a rule codified at 47 O.S. § 7-116, which barred uninsured drivers from recovering non-economic damages in a civil lawsuit, regardless of fault. In Montgomery v. Potter, 2014 OK 118, ¶ 8, 341 P.3d 360, the Oklahoma Supreme Court struck down § 7-116 as unconstitutional. As a result of that decision, uninsured drivers in Oklahoma may pursue all categories of damages, including non-economic damages.

In Oregon, a plaintiff who operates a vehicle without the statutorily required insurance is barred from recovering non-economic damages. ORS 31.715.

Pennsylvania does not apply a “No Pay, No Play” rule.

No. Rhode Island has not adopted or applied any “No Pay, No Play”
rules, which generally limit compensation for uninsured drivers who sustain
damages in an accident.

• Rhode Island is a pure comparative negligence state. See R.I. Gen. Laws
  § 9-20-4.
• Accordingly, parties injured in an accident may receive compensation
  for injuries or damages so long as they are not 100% responsible. Id.

No, South Carolina does not currently have a “No Pay, No Play” rule that limits recovery for uninsured drivers. Instead, South Carolina law focuses on uninsured motorists and underinsured motorists’ coverage, pursuant to S.C. Code Ann. § 38-77-150. These provisions ensure that insured individuals can recover damages from uninsured or underinsured drivers. Insurers are required to pay the insured all sums they are legally entitled to recover as damages from the owner or operator of an uninsured motor vehicle.xxix

South Dakota does not have a “No Pay, No Play” law regarding uninsured motorist accidents.

Tennessee does not have a “No Pay, No Play” rule.

Some states have “No Pay, No Play” laws in effect, meaning that an uninsured driver is not eligible to pursue compensation for damages. Texas does not apply the “No Pay, No Play” rule.

No, Utah does not apply a “No Pay, No Play” rule.

No. Vermont does not apply a “No Pay, No Play” rule.

No, Virginia does not apply a “No Pay, No Play” rule. All drivers are required to carry motor vehicle insurance. Va. Code §46.2-706. Failure to carry motor vehicle insurance is a Class 3 misdemeanor. Va. Code § 46.2-707. A claimant’s recovery is not limited if they fail to have insurance coverage.

For more information, please contact:

ALFA International Headquarters
980 N. Michigan Avenue, Suite 1180
Chicago, IL 60611
Phone: (312) 642-2532

For more information, please contact:

ALFA International Headquarters
980 N. Michigan Avenue, Suite 1180
Chicago, IL 60611
Phone: (312) 642-2532

Wisconsin does not apply a “no pay, no play” rule. The at fault driver is responsible for damages.

Wyoming has no specific “No Pay, No Play” law or rules. WY Stat 1-1-109 provides for a modified comparative fault system, meaning that uninsured drivers can sue for damages, but their recovery will be reduced by their own percentage of fault. If an uninsured driver is found to be more than 50% at fault, it is a complete bar to recovery.