Key Takeaway
Court remands no-fault case to determine interest calculations, highlighting complexities in Insurance Law § 5106(a) tolling provisions for overdue medical benefits.
This article is part of our ongoing no-fault coverage, with 271 published articles analyzing no-fault issues across New York State. Attorney Jason Tenenbaum brings 24+ years of hands-on experience to this analysis, drawing from his work on more than 1,000 appeals, over 100,000 no-fault cases, and recovery of over $100 million for clients throughout Nassau County, Suffolk County, Queens, Brooklyn, Manhattan, and the Bronx. For personalized legal advice about how these principles apply to your specific situation, contact our Long Island office at (516) 750-0595 for a free consultation.
No-fault insurance cases often involve complex calculations when determining interest on overdue payments to healthcare providers. The interplay between statutory requirements and tolling provisions can significantly impact the final amount owed, making precise legal analysis crucial for both providers and insurers.
In medical billing disputes under New York No-Fault Insurance Law, courts must carefully examine whether interest should be calculated from the original due date or whether certain circumstances warrant tolling the interest period. This becomes particularly important when substantial time has passed since the original billing, as compound interest can dramatically increase the total amount due.
Jason Tenenbaum’s Analysis:
Devonshire Surgical Facility v American Transit Insurance Company, 2011 NY Slip Op 51660(U)(App. Term 1st Dept. 2011)
“laintiffs made a prima facie showing of entitlement to judgment as a matter of law on their claims for first-party no-fault benefits by submitting proof that the prescribed statutory billing forms had been mailed and received by defendant on January 22, 2001, and that payment was overdue”
“We remand the matter to Civil Court for calculation of the appropriate interest due plaintiff on these claims, taking into account the applicability, if any, of the tolling provisions of Insurance Law § 5106(a) (see 11 NYCRR 65.15 ; LMK Psychological Servs., P.C. v State Farm Mut. Auto. Ins. Co., 12 NY3d 217, 223 ; Brooklyn Chiropractic Assoc., P.C. v Progressive Cas. Ins. Co., 17 Misc 3d 13, 15 ).”
I guess when compound interest is in play, we see the worst in people.
Key Takeaway
This case demonstrates the critical importance of proper interest calculations in no-fault insurance disputes. While the court established the provider’s right to payment, the complex tolling provisions under Insurance Law § 5106(a) required remand for precise calculation, highlighting how procedural details can significantly impact the final judgment amount in medical billing cases.
Related Articles
- Understanding the CPLR 3212(g) paradigm for summary judgment motions
- Critical timing rules under CPLR 3212(a) for summary judgment motions
- When reasonable excuse defenses apply despite jurisdictional challenges
- No-fault verification requirements and compliance standards
- New York No-Fault Insurance Law
Legal Update (February 2026): Since this 2011 post, Insurance Law § 5106 and its implementing regulations under 11 NYCRR Part 65 have undergone several amendments affecting interest calculations and tolling provisions in no-fault cases. Additionally, court interpretations of interest tolling in medical billing disputes may have evolved through subsequent appellate decisions. Practitioners should verify current statutory provisions and recent case law when analyzing interest calculations in no-fault insurance matters.
Legal Context
Why This Matters for Your Case
New York's no-fault insurance system, established under Insurance Law Article 51, is one of the most complex insurance frameworks in the country. Every motorist must carry Personal Injury Protection coverage that pays medical expenses and lost wages regardless of fault, up to $50,000 per person.
But insurers routinely deny valid claims using peer reviews, EUO scheduling tactics, fee schedule reductions, and coverage defenses. The Law Office of Jason Tenenbaum has handled over 100,000 no-fault cases since 2002 — from initial claim submissions through arbitration before the American Arbitration Association, trials in Civil Court and Supreme Court, and appeals to the Appellate Term and Appellate Division. Jason Tenenbaum is one of the few attorneys in the state who both writes his own appellate briefs and tries his own cases.
His 2,353+ published legal articles on no-fault practice are cited by attorneys throughout New York. Whether you are dealing with a medical necessity denial, an EUO no-show defense, a fee schedule dispute, or a coverage question, this article provides the kind of detailed case-law analysis that helps practitioners and claimants understand exactly where the law stands.
About This Topic
New York No-Fault Insurance Law
New York's no-fault insurance system requires every driver to carry Personal Injury Protection (PIP) coverage that pays medical expenses and lost wages regardless of who caused the accident. But insurers routinely deny, delay, and underpay valid claims — using peer reviews, IME no-shows, and fee schedule defenses to avoid paying providers and injured claimants. Attorney Jason Tenenbaum has litigated thousands of no-fault arbitrations and court cases since 2002.
271 published articles in No-Fault
Keep Reading
More No-Fault Analysis
Priority of Payment Regulation Has No Force in Arbitration: First and Second Departments Agree
Both the First and Second Departments have held that the priority of payment regulation under 11 NYCRR 65-3.15 is of no force or effect in no-fault arbitration proceedings....
Feb 25, 2026How Insurance Companies Use Colossus Software to Undervalue Your Injury Claim
Insurance companies use Colossus software to lowball your injury claim. Learn how this system works and how a Long Island attorney can fight back. Call 516-750-0595.
Feb 18, 2026NY No-Fault: The Verification Paradigm
Learn about NY no-fault insurance: claim filing steps, verification process, and recent case law affecting insurance carriers' verification rights.
Apr 29, 2024When personal knowledge is not so personal
Learn the crucial difference between personal knowledge and business records in no-fault insurance disputes, including proper evidence foundations for IME non-appearances.
Nov 22, 2021So what happened in Carothers?
Learn how the Carothers decision affects professional corporation licensing in New York no-fault insurance law. Expert analysis for healthcare providers. Call 516-750-0595.
Jun 21, 2019The amendments to the regulations and what they mean to you.
Complete analysis of 2013 New York no-fault insurance regulation amendments. Learn how the 120-day rule affects personal injury claims on Long Island and NYC.
Feb 14, 2013Common Questions
Frequently Asked Questions
What is New York's no-fault insurance system?
New York's no-fault insurance system, codified in Insurance Law Article 51, requires all drivers to carry Personal Injury Protection (PIP) coverage. This pays for medical expenses, lost wages (up to $2,000/month), and other basic economic loss regardless of who caused the accident, up to $50,000 per person. However, to sue for pain and suffering, you must meet the 'serious injury' threshold under Insurance Law §5102(d).
How do I fight a no-fault insurance claim denial?
When a no-fault claim is denied, you can challenge it through mandatory arbitration under the American Arbitration Association's no-fault rules, or by filing a lawsuit in court. Common defenses to denials include challenging the timeliness of the denial, the adequacy of the peer review report, or the insurer's compliance with regulatory requirements. An experienced no-fault attorney can evaluate which strategy gives you the best chance of overturning the denial.
What is the deadline to file a no-fault claim in New York?
Under 11 NYCRR §65-1.1, you must submit a no-fault application (NF-2 form) within 30 days of the accident. Medical providers must submit claims within 45 days of treatment. Missing these deadlines can result in claim denial, though there are limited exceptions for late notice if the claimant can demonstrate a reasonable justification.
What no-fault benefits am I entitled to after a car accident in New York?
Under Insurance Law §5102(b), no-fault PIP covers necessary medical expenses, 80% of lost earnings up to $2,000/month, up to $25/day for other reasonable expenses, and a $2,000 death benefit. These benefits are available regardless of fault, up to the $50,000 policy limit. Claims are paid by your own insurer — not the at-fault driver's.
Can I choose my own doctor for no-fault treatment in New York?
Yes. Under New York's no-fault regulations, you have the right to choose your own physician, chiropractor, physical therapist, or other licensed healthcare provider. The insurer cannot dictate which providers you see. However, the insurer can request an IME with their chosen doctor and may challenge the medical necessity of your treatment through peer review.
Was this article helpful?
About the Author
Jason Tenenbaum, Esq.
Jason Tenenbaum is the founding attorney of the Law Office of Jason Tenenbaum, P.C., headquartered at 326 Walt Whitman Road, Suite C, Huntington Station, New York 11746. With over 24 years of experience since founding the firm in 2002, Jason has written more than 1,000 appeals, handled over 100,000 no-fault insurance cases, and recovered over $100 million for clients across Long Island, Nassau County, Suffolk County, Queens, Brooklyn, Manhattan, the Bronx, and Staten Island. He is one of the few attorneys in the state who both writes his own appellate briefs and tries his own cases.
Jason is admitted to practice in New York, New Jersey, Florida, Texas, Georgia, and Michigan state courts, as well as multiple federal courts. His 2,353+ published legal articles analyzing New York case law, procedural developments, and litigation strategy make him one of the most prolific legal commentators in the state. He earned his Juris Doctor from Syracuse University College of Law.
Disclaimer: This article is published by the Law Office of Jason Tenenbaum, P.C. for informational and educational purposes only. It does not constitute legal advice, and no attorney-client relationship is formed by reading this content. The legal principles discussed may not apply to your specific situation, and the law may have changed since this article was last updated.
New York law varies by jurisdiction — court decisions in one Appellate Division department may not be followed in another, and local court rules in Nassau County Supreme Court differ from those in Suffolk County Supreme Court, Kings County Civil Court, or Queens County Supreme Court. The Appellate Division, Second Department (which covers Long Island, Brooklyn, Queens, and Staten Island) and the Appellate Term (which hears appeals from lower courts) each have distinct procedural requirements and precedents that affect litigation strategy.
If you need legal help with a no-fault matter, contact our office at (516) 750-0595 for a free consultation. We serve clients throughout Long Island (Huntington, Babylon, Islip, Brookhaven, Smithtown, Riverhead, Southampton, East Hampton), Nassau County (Hempstead, Garden City, Mineola, Great Neck, Manhasset, Freeport, Long Beach, Rockville Centre, Valley Stream, Westbury, Hicksville, Massapequa), Suffolk County (Hauppauge, Deer Park, Bay Shore, Central Islip, Patchogue, Brentwood), Queens, Brooklyn, Manhattan, the Bronx, Staten Island, and Westchester County. Prior results do not guarantee a similar outcome.