Glossary

No pay, no play

A state law that bars uninsured drivers from suing for pain and suffering after a crash, even when the other driver caused it.

Also called: no pay no play law, no-pay no-play

"No pay, no play" laws penalize drivers who ignore their state's insurance requirement. If you are driving without the required coverage and another driver injures you, you typically can still recover economic damages, such as medical bills and lost wages, but you lose the right to sue for noneconomic damages, such as pain and suffering. The idea is that drivers who do not pay into the insurance system should not collect its full benefits.

According to the Insurance Information Institute, about a dozen states have such laws, including California, Indiana, Iowa, Louisiana, Michigan, Missouri and New Jersey. The details vary. California's Proposition 213, approved by voters in 1996, applies the restriction to drunk drivers as well as uninsured ones. New Jersey goes further, barring uninsured and drunk drivers from suing for economic or noneconomic damages.

Example: an uninsured driver is rear-ended at a red light and has $8,000 in medical bills and a claim for $25,000 in pain and suffering. In a typical no pay, no play state, the claim against the at-fault driver could be limited to the $8,000 (hypothetical figures). Keeping at least minimum coverage in force avoids the problem, along with the fines and suspensions for driving uninsured. See no pay, no play laws and penalties for driving without insurance.

Last reviewed October 4, 2026

In the index now

Related terms

Financial responsibility law A state law requiring drivers to show they can pay for injuries or damage they cause, almost always by carrying minimum liability insurance. Uninsured motorist coverage Coverage that pays injury costs for you and your passengers when a driver with no insurance, or a hit-and-run driver, causes the crash. Minimum coverage The least car insurance a state lets you carry to drive legally, usually liability coverage at set limits and sometimes PIP or uninsured motorist coverage. Tort A civil wrong, such as careless driving, that injures someone and gives the injured person the right to sue for money damages. Negligence Failing to use the care a reasonable person would use, causing harm to someone else; the legal basis for most car accident claims.

Related guides

What to do after an accident with an uninsured driver Steps to take at the scene, which of your own coverages pay for your car and injuries, and your options for collecting from a driver with no insurance. Why Louisiana car insurance is among the priciest Louisiana ranks near the top for auto insurance cost and last for affordability. Why, and what the 2020 and 2025 legal reforms change for drivers. No pay, no play laws No pay, no play laws stop uninsured drivers from recovering some damages even when the other driver is at fault. Which states have them and how they work. Penalties for driving without insurance What happens if you drive uninsured: fines, suspensions, impoundment and SR-22 filings by state, plus the bigger cost of an uninsured crash and how to recover. Tort reform and car insurance What tort reform changes in car accident cases, the recent laws in Florida, Georgia, Louisiana and New York, and what they mean for your premium and your claim.