No, Arizona does not use a no-fault insurance system. It operates under a traditional fault-based system, meaning that the driver responsible for causing an accident is liable for the damages. In Arizona, drivers are required to carry minimum liability insurance to cover bodily injury and property damage. This system allows the injured party to file a claim with the at-fault driver’s insurance company, seek compensation through their own insurance, or pursue a lawsuit if necessary. Understanding Arizona’s fault-based insurance system is crucial for drivers to ensure they have adequate coverage and know their rights in the event of an accident.