Car Accident Wage Loss Benefits To Increase


Under current Minnesota law in 2014, if you miss work because you were injured in a car accident, your No-Fault auto insurance must pay you 85% of your lost wages up to a maximum of $250 per week. The law defines “income” as salary, wages, tips, commissions, professional fees, and other earnings from work or tangible things of economic value produced through work in individually owned businesses, farms, ranches or other work.

Car Accident Can't Work Injury Income Loss
Car Accident Can’t Work Injury Income Loss

Our lawyers have worked on many MN car accident injury cases where that $250 per week in wage loss reimbursement was the difference between our client paying rent or being evicted.  However, while we appreciate the benefit, we are often concerned that $250 per week often does not come close to compensating many people for their lost wages after an auto accident, and often still leaves them and their families in a very difficult financial situation.

Therefore, our car accident attorneys are grateful to the MN legislature for amending the No Fault law this year to increase the maximum weekly benefit to $500 for lost wages after a car accident. (The amendment goes into effect on January 1, 2015, but there is some dispute as to whether it applies to accidents that occurred before January 1 where the lost income from the car accident occurs after January 1.)

The total cap on this benefit is still $20,000 unless you purchase stacking coverage, but the $500 per week will be a significant improvement for many people who find themselves in a temporarily precarious financial situation because they were injured in a car accident. It is also important to remember that this lost wages benefit is available regardless of fault (no-fault).  In other words, you can receive this wage loss insurance benefit if you are injured in a car accident, even if the accident was your fault.


If you have been injured and can’t work because of a car accident in MN, you are welcome to call us and speak with an experienced attorney about your situation. We will answer your questions about insurance coverage and lost income relating to your auto accident and advise you on how to move forward.  There is no charge or obligation for the initial consultation.