Who Pays After a Crash With an Uninsured Driver?


By Samantha Alvord

According to the legal system, an accident victim should be restored to their original financial condition after they have suffered losses due to a car accident. In theory, if a person is injured or experiencing property damages or loss due to a vehicle collision, the at-fault driver’s insurance should cover the cost of medical bills, damages, and lost wages.

When the At-Fault Party is Uninsured

The financial recovery process becomes more complicated if the liable party in the accident was not insured. In some cases, the responsible party may have insurance, but not a basic liability plan that may not provide enough coverage for the losses the victim experienced.

Uninsured or underinsured motorist coverage are add-ons to a policy that anyone can select when they purchase automobile insurance. These add-ons make it possible for insurance to pay a claim to an accident victim after an accident with a driver who doesn’t have insurance or is underinsured.

Insurance Add-Ons

Without the add-ons, accident victims can’t make claims to recover damages or cover the cost of medical bills after an accident. This is why it is important for collision victims to file a report with their insurance companies as soon as possible. A report and a claim are not the same; it’s best to gather all relevant evidence, such as a police report and pictures of the accident scene. Accident victims should provide this information to their insurance company or law consult like Bryant Law Center, even if the at-fault driver immediately reveals that they are not insured.

If the at-fault driver does not have insurance, the victim’s insurance company can’t file a claim against the liable party. In these cases, the insurer of the victim will usually decide to subrogate the claim, which means the insurance company will sue the responsible driver or make a claim against the at-fault driver’s insurance company if the driver was uninsured.

If neither party involved in the car accident has insurance, the victim will have to file a personal injury claim against the driver who was responsible for the accident.

Filing An Uninsured Motorist Claim

Get in touch with your insurance company immediately if you’re a car accident victim and want to file a claim against a driver who doesn’t have insurance. Some insurers have strict deadlines when it comes to reporting an accident and filing a claim, which means the company may not cover you if you don’t notify them of the accident within a certain timeframe.

If your insurer is representing you against the at-fault driver’s insurance company, the two insurers will negotiate to come to a settlement. If you believe you deserve more, you can appeal the decision. If you’re still not satisfied with the outcome, you can work with a personal injury attorney so you can file a lawsuit.

If you file an uninsured motorist claim against your own insurance company and you can’t come to an agreement, you’ll go to binding arbitration. Arbitration is not as formal as litigation, but since the arbitration is binding, you’ll have to see the process through until the end. In this situation, both parties will appear in court for a hearing before a panel or single arbitrator who will act as a judge. You and the at-fault party will present your arguments and the arbitrator will come to a decision.

Bottom Line

If you’re dealing with an at-fault party with no car insurance and want to recover lost wages, the cost of medical bills, or damages associated with your car accident, be sure to consult with a qualified lawyer right away. A personal injury attorney can review the details of your case, verify all insurance policies, and help you file a claim so you can get the compensation you deserve.

About the Author

Samantha Alvord

Samantha Alvord is a legal expert and a passionate writer who works tirelessly to inform people about the field of personal injury, her area of specialty. She has a talent for making complex legal concepts accessible to the public. It is Samantha’s goal to present a clear and structured piece to the reader, which can easily be used as a guide to solving legal matters.

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The views expressed in this article are those of the authors and do not necessarily reflect the views or policies of The World Financial Review.