There are pros and cons to both no-fault and fault insurance systems. In a no-fault system, each driver's own insurance company pays for their own damages, regardless of who caused the accident. This eliminates the need to determine who was at fault in the accident, and can speed up the claims process. However, no-fault systems can also lead to increased premiums, as each driver's insurance company is responsible for a larger share of the costs.
In a fault system, the driver who caused the accident is typically responsible for paying for the damages. This can lead to longer and more expensive legal battles, as the drivers involved try to determine who was at fault. However, fault systems can also lead to lower premiums, as drivers are less likely to file claims if they know they will be responsible for the costs. Ultimately, the best system depends on the individual state's needs and preferences.